How does changing age distribution impact stock prices? A nonparametric approach

Research output: Contribution to journalArticle

9 Citations (Scopus)

Abstract

This paper examines whether variations in demographic structure have influenced stock prices. The study employs a nonparametric approach based on the Fourier Flexible Form representation, which relates variations in the entire age distribution to the normalized stock price under a flexible functional form. The main findings of this paper are that there is a significant impact from prime working-age consumers on the stock price, and that this impact is robust for all G5 countries (France, Germany, Japan, the UK and the USA). These findings survive many robust tests, and are consistent with the predictions from the life-cycle models.

Original languageEnglish
Pages (from-to)1155-1178
Number of pages24
JournalJournal of Applied Econometrics
Volume25
Issue number7
DOIs
Publication statusPublished - 2010 Nov 1

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distribution impact
life cycle
Japan
France
Stock prices

ASJC Scopus subject areas

  • Economics and Econometrics
  • Social Sciences (miscellaneous)

Cite this

How does changing age distribution impact stock prices? A nonparametric approach. / Park, Cheolbeom.

In: Journal of Applied Econometrics, Vol. 25, No. 7, 01.11.2010, p. 1155-1178.

Research output: Contribution to journalArticle

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