We examine the effects of the closing of the New York Stock Exchange (NYSE) on volatility and price changes in the Standard & Poor's (S&P) futures market, which trades for 15 more minutes each day. When the NYSE closes, volatility in the futures market drops significantly, only to increase at...

Tests of Competing Theories of Consumer Choice and the Representative Consumer Hypothesis In this paper, the authors estimate demand functions for individual agents. They test if commonly-used functions are consisten t with the data and if parameters are the same across subjects. The y examine...

Free banks in the United States issued private banknotes without discretionary restriction of entry. Previous research suggests explanations for noteholders' relatively large losses and the substantial number of banks that closed. The authors examine these hypotheses and the hypothesis that...

Nonlinearities in economies, as elsewhere, can generate chaotic equilibria. The presence of Pareto-inferior chaotic equilibria might seem reason enough to use stabilization policy to select preferable equilibria. However, the author shows that a stabilization policy with feedback can itself lead...