Det er en erklæret målsætning, at flere unge skal gennemføre en videregående uddannelse. Flere af de nylige ændringer i uddannelsespolitikken modvirker imidlertid denne målsætning: (1) Indlægget viser, at det ikke spiller nogen rolle for beståelsen på samfundsvidenskab, om eleverne...

Regeringen har fremlagt et forslag til reform af gymnasiet med det sigte at styrke naturvidenskab. En gennemførelse af forslaget må imidlertid forventes at formindske andelen af elever i gymnasiet, som følger naturvidenskabelige fag. Dette vises i en simpel modelramme til analyse af elevernes...

We analyze a binary prediction market in which traders have heterogeneous prior beliefs and private information. Realistically, we assume that traders are allowed to invest a limited amount of money (or have decreasing absolute risk aversion). We show that the rational expectations equilibrium...

In the basic mean/variance framework, a stock's weight in effcient portfolios goes up if its expected rate of return goes up. In more complicated, realistic portfolio choice problems, surprising effects can occur.

According to the favorite-longshot bias, longshots are overbet relative to favorites. We propose an explanation for this bias (and its reverse) based on an equilibrium model of informed betting in parimutuel markets. The bias arises because bettors take positions without knowing the positions...

This paper presents the first topological analysis of Danish money market flows. We analyze the structure of two networks with different types of transactions. The first network is the money market network, which is driven by banks' behaviour on the interbank market, the second is the network of...

In this paper, we propose a framework for the modelling of multivariate dynamic processes which are driven by an unobservable common autoregressive component. Economically motivated by the mixture-of-distribution hypothesis, we model the multivariate intraday trading process of return...

An important claim of Bayesian learning and a standard assumption in price discovery models is that the strength of the price impact of unanticipated information depends on the precision of the news. In this paper, we test for this assumption by analyzing intra-day price responses of CBOT T-bond...

In this paper, we analyze the impact of default risk on the portfolio decision of an investor wishing to invest in corporate bonds. Default risk is modeled via a reduced form approach and we allow for random recovery as well as joint default events. Depending on the structure of the model, we...