Review
"How large is the equity risk premium? Is it consistent with macroeconomic fluctuations? And what are the implications for investors? These are among the most important questions in finance. While the last word certainly hasn't been written, Mehra's "Handbook of the Equity Risk Premium" provides a lucid framework for addressing these questions, reviews the empirical results, and offers a comprehensive view of current thinking about ways to approach the open issues."
Bob Litterman
Goldman Sachs Asset Management

--Bob Litterman
Goldman Sachs Asset Management



Mehra and Prescott's equity premium paper was a true classic, stimulating a mountain of interesting research. This valuable book contains some of the most interesting responses, plus an introduction and a new paper by the original authors. This is financial economics at its best.
Robert E. Lucas, Jr.
University of Chicago

The puzzle of the equity risk premium is one of the deepest conundrums of financial economics. This masterful collection put together by its discoverer lucidly displays its central position in modern finance.
Stephen A. Ross
Sloan School, MIT

"Understanding how to interpret and capitalize on the large observed equity premium is a central task of macroeconomics and finance. This book is full of good new ideas about risk taking behavior and finance markets."
Thomas Sargent
NYU and the Hoover Institution, Stanford --Thomas Sargent
NYU and the Hoover Institution, Stanford

Book Description
An explanation of the differences between estimates and actual returns on stock and bond investments has long eluded the best efforts of scholars and researchers.


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Product Details Hardcover: 592 pages Publisher: Elsevier Science (October 1, 2007) Language: English ISBN-10: 0444508996 ISBN-13: 978-0444508997