Search results
- On October 22, 1929, a headline in the New York Times read: “Fisher says prices of stocks are low.” Two days later, the stock market crashed. Fisher based his projection on strong earnings reports, fewer industrial disputes, and evidence of high investment in R&D and other intangible capital.
www.nber.org › system › filesNBER WORKING PAPER SERIES THE STOCK MARKET CRASH OF 1929 ...
Sep 3, 2014 · A t this time 85 years ago, Yale economist Irving Fisher was jubilant. “Stock prices have reached what looks like a permanently high plateau,” he rejoiced in the pages of the New York Times...
People also ask
Was Irving Fisher right about the stock market crash of 1929?
Why did Irving Fisher think stock prices were too low?
Was the stock market undervalued in 1929?
Did Fisher estimate total market capitalization in 1929?
Many stock market analysts think that in 1929, at the time of the crash, stocks were overvalued. Irving Fisher argued just before the crash that fundamentals were strong and the stock market was undervalued. In this article, we use growth theory to estimate the fundamental value of corporate equity and compare it to actual stock valuations.
Dec 1, 2003 · Irving Fisher argued just before the crash that fundamentals were strong and the stock market was undervalued. In this paper, we use growth theory to estimate the fundamental value of corporate equity and compare it to actual stock valuations.
Irving Fisher argued that the fundamentals were strong and the stock market was undervalued. In this paper, we estimate the fundamental value of corporate equity in 1929 using data on stocks of productive capital and tax rates as in McGrattan and Prescott (2000, 2001) and compare it to actual stock valuations.
- Ellen R. McGrattan, Ellen R. McGrattan, Ellen R. McGrattan, Edward C. Prescott, Edward C. Prescott
- 2001
The stock market crash of 1929 and the subsequent Great Depression cost Fisher much of his personal wealth and academic reputation. He famously predicted, nine days before the crash, that stock prices had "reached what looks like a permanently high plateau."
Apr 13, 2018 · The Dow increased six-fold from August 1921 to September 1929, leading economists such as Irving Fisher to conclude, “Stock prices have reached what looks like a permanently high plateau.” The...
Irving Fisher argued that the fundamentals were strong and the stock market was undervalued. In this paper, we estimate the fundamental value of corporate equity in 1929 using data on stocks of productive capital and tax rates as in McGrattan and Prescott (2000, 2001) and compare it to actual stock valuations.
