This paper presents an oil price cartel model. The aggregate reaction functions for non-cartel producers and for substitute suppliers are included. The former group acts as a price-taker, while the latter expects oil prices in production of its non-oil energy resources. This expectation about prices affects a cartel’s oil demand and, thus, gives intertemporal price elasticities It turns out tha...

Why do asset price bubbles continue to appear in various markets? This paper provides an overview of recent literature on bubbles, with significant attention given to behavioral models and rational models with frictions. Unlike the standard rational models, the new literature is able to model the common characteristics of historical bubble episodes and offer insights for how bubbles are initiat...

After the 2007 credit crisis, financial bubbles have once again emerged as a topic of current concern. An open problem is to determine in real time whether or not a given asset’s price process exhibits a bubble. Due to recent progress in the characterization of asset price bubbles using the arbitrage-free martingale pricing technology, we are able to propose a new methodology for answering this...

This paper studies similarities and differences between models based on Monte-Carlo method by focusing on so-called “stylized facts”. In this study, we propose a model based on evolutionary algorithm and take the other model based on statistical physics. For this purpose, first we present a genetic learning model of investor sentiment and then several ordinary time series analyses are conducted...

Purpose –The implementation of the Islamic capital market in Indonesia applies principles participation that meets sharia i.e. non-bubble stock. Screening companies through methods applied by authority agencies with certain prerequisites actually cannot avoid speculative actions represent bubble price. This research intended to detect existence price Indonesian Stock Index. very useful f...

The analysis of Serbia's residential real estate market is the main goal this paper. Price movements in that part affect price and financial stability equally, which are thus goals most central banks. Prior to highly contagious COVID-19 pandemic, there was a gradual increase number transactions involving prices, with oscillations observed throughout second quarter 2020. In paper, we will presen...

This study examines the time series behaviour of housing prices series for 69 cities in China. The general housing price index, the index of newly constructed buildings and the price index of second hand buildings from 2005:7 to 2010:12 are examined. The univariate fractionally integrated models are employed in order to determine whether shocks to the variables have transitory or permanent effe...