This setting lets you change the way you view articles. You can choose to have articles open in a dialog window, a new tab, or directly in the same window.
Open in Dialog
Open in New Tab
Open in same window

Journal of Economic Perspectives: Vol. 7 No. 3 (Summer 1993)

Expand

Quick Tools:

Print Article Summary
Export Citation
Sign up for Email Alerts Follow us on Twitter

Explore:

JEP - All Issues


Land and Stock Prices in Japan

Article Citation

Stone, Douglas, and William T. Ziemba. 1993. "Land and Stock Prices in Japan." Journal of Economic Perspectives, 7(3): 149-165.

DOI: 10.1257/jep.7.3.149

Abstract

This paper discusses the rise of Japanese stock and land prices in the past four decades and their dramatic decline in the early 1990s. To what extent can fundamental factors explain both the price levels and the returns from land and stock in Japan? Are land prices driving stock prices, or the other way around, or are still other factors affecting both? How has government policy interacted with the price changes? In practice, it is very difficult to solve the problem of separating the explanation that a bubble occurred from the possibility that the underlying fundamental problem is misspecified. We believe that the bulk of the rise in Japanese asset prices from 1985-89 and the decline during 1990-92 was driven by interest rate and credit market conditions. However, in certain speculative land markets, there is some evidence in support of the bubble hypothesis.

Article Full-Text Access

Full-text Article (Complimentary)

Authors

Stone, Douglas (Frank Russell Co, Tacoma)
Ziemba, William T. (U British Columbia)

JEL Classifications

R33: Nonagricultural and Nonresidential Real Estate Markets
G12: Asset Pricing; Trading volume; Bond Interest Rates

Comments

View Comments on This Article (0) | Login to post a comment


Journal of Economic Perspectives


Quick Tools:

Sign up for Email Alerts

Follow us on Twitter

Subscription Information
(Institutional Administrator Access)

Explore:

JEP - All Issues

Virtual Field Journals


AEA Member Login:


AEAweb | AEA Journals | Contact Us