How the Wealth Was Won: Factors Shares as Market Fundamentals /
Greenwald, Daniel L.
How the Wealth Was Won: Factors Shares as Market Fundamentals / Daniel L. Greenwald, Martin Lettau, Sydney C. Ludvigson. - Cambridge, Mass. National Bureau of Economic Research 2019. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25769 . - Working Paper Series (National Bureau of Economic Research) no. w25769. .
April 2019.
Why do stocks rise and fall? From 1989 to 2017, $34 trillion of real equity wealth (2017:Q4 dollars) was created by the U.S. corporate sector. We estimate that 44% of this increase was attributable to a reallocation of rewards to shareholders in a decelerating economy, primarily at the expense of labor compensation. Economic growth accounted for just 25%, followed by a lower risk price (18%), and lower interest rates (14%). The period 1952 to 1988 experienced less than one third of the growth in market equity, but economic growth accounted for more than 100% of it.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.
How the Wealth Was Won: Factors Shares as Market Fundamentals / Daniel L. Greenwald, Martin Lettau, Sydney C. Ludvigson. - Cambridge, Mass. National Bureau of Economic Research 2019. - 1 online resource: illustrations (black and white); - NBER working paper series no. w25769 . - Working Paper Series (National Bureau of Economic Research) no. w25769. .
April 2019.
Why do stocks rise and fall? From 1989 to 2017, $34 trillion of real equity wealth (2017:Q4 dollars) was created by the U.S. corporate sector. We estimate that 44% of this increase was attributable to a reallocation of rewards to shareholders in a decelerating economy, primarily at the expense of labor compensation. Economic growth accounted for just 25%, followed by a lower risk price (18%), and lower interest rates (14%). The period 1952 to 1988 experienced less than one third of the growth in market equity, but economic growth accounted for more than 100% of it.
System requirements: Adobe [Acrobat] Reader required for PDF files.
Mode of access: World Wide Web.