Are you an EPFL student looking for a semester project?
Work with us on data science and visualisation projects, and deploy your project as an app on top of Graph Search.
Lecture
Equilibrium State Prices Determination
Description
This lecture covers the determination of equilibrium state prices in asset pricing, focusing on consumption market clearing and the unique inter-temporal budget constraint. It explains the Lagrange multiplier for the budget constraint and the state price density. The lecture also discusses equilibrium state prices determined by consumption market clearing and the inverse function of state prices. It concludes with insights on the invisible hand in market resource allocation and the utility weights in equilibrium.
Official source
About this result
This page is automatically generated and may contain information that is not correct, complete, up-to-date, or relevant to your search query. The same applies to every other page on this website. Please make sure to verify the information with EPFL's official sources.