eprintid: 9468
rev_number: 8
eprint_status: archive
userid: 1
dir: disk0/00/00/94/68
datestamp: 2009-05-12 13:01:11
lastmod: 2015-04-21 15:44:47
status_changed: 2012-08-14 15:29:19
type: workingPaper
metadata_visibility: show
creators_name: Oechssler, Jörg
creators_name: Schmidt, Carsten
creators_name: Schnedler, Wendelin
title: Asset Bubbles without Dividends - An Experiment
ispublished: pub
subjects: 330
divisions: 181000
keywords: asset markets , bubbles ,  experiment ,  mirages , dividends
abstract: Bubbles in asset markets have been documented in numerous experimental studies. However, all experiments in which bubbles occur pay dividends after each trading day. In this paper we study whether bubbles can occur in markets without dividends. We investigate the role of two features that are present in real markets. (1) The mere possibility that some traders may have inside information, and (2) the option to communicate with other traders. We find that bubbles can indeed occur without dividends. Surprisingly, communication turns out to be counterproductive for bubble formation, whereas the possibility of inside information is, as expected, crucial. 
abstract_translated_lang: eng
class_scheme: jel
class_labels: C92, G12, D8
date: 2007
date_type: published
id_scheme: DOI
id_number: 10.11588/heidok.00009468
schriftenreihe_cluster_id: sr-3
schriftenreihe_order: 0439
ppn_swb: 553812386
own_urn: urn:nbn:de:bsz:16-opus-94687
language: eng
bibsort: OECHSSLERJASSETBUBBL2007
full_text_status: public
citation:   Oechssler, Jörg ; Schmidt, Carsten ; Schnedler, Wendelin  (2007) Asset Bubbles without Dividends - An Experiment.  [Working paper]     
document_url: https://archiv.ub.uni-heidelberg.de/volltextserver/9468/1/Oechssler_Schmidt_Schnedler07_dp439.pdf