effects of stock market bubbles can contribute to business cycle synchronisation across economic areas …

effects of stock market bubbles can contribute to business cycle synchronisation across economic areas. …

In economics and finance, speculative bubbles take the form of locally explosive dynamics that eventually collapse. We … propose a test for the presence of speculative bubbles in the context of mixed causal-noncausal autoregressive processes. The … test exploits the fact that bubbles are anticipative, that is, they are generated by an extreme shock in the forwardlooking …