Real Economic Activity and Stock Prices in A small Developing Economy:The case of Malysia
| Main Author: | Perpustakaan UGM, i-lib |
|---|---|
| Format: | Article NonPeerReviewed |
| Terbitan: |
[Yogyakarta] : UPT Perpustakaan UGM
, 2000
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| Subjects: | |
| Online Access: |
https://repository.ugm.ac.id/18817/ http://i-lib.ugm.ac.id/jurnal/download.php?dataId=1625 |
Daftar Isi:
- The present paper analyzes the ability of the stock prices to anticipate future variations in real industrial production using a Granger-style output forecasting equation. The analysis carefully considers the trend properties of the data by. a priori, implementing tests for integration, cointegration and trends. The results indicate only a limited role of the stock prices as a leading indicator for real output. Accordingly, the movements in the stock prices should be regarded as providing only a general information and should not be relied upon. excessively to gauge future economic conditions