Economics at your fingertips  

Impacts of interval measurement on studies of economic variability: Evidence from stock market variability forecasting

Ling T. He and Chenyi Hu

Journal of Risk Finance, 2007, vol. 8, issue 5, 489-507

Abstract: Purpose - The purpose of this study is to investigate the impacts of interval measured data, rather than traditional point data, on economic variability studies. Design/methodology/approach - The study uses interval measured data to forecast the variability of future stock market changes. The variability (interval) forecasts are then compared with point data-based confidence interval forecasts. Findings - Using interval measured data in stock market variability forecasting can significantly increase forecasting accuracy, compared with using traditional point data. Originality/value - An interval forecast for stock prices essentially consists of predicted levels and a predicted variability which can reduce perceived uncertainty or risk embedded in future investments, and therefore, may influence required returns and capital asset prices.

Keywords: Stock markets; Economic forecasting (search for similar items in EconPapers)
Date: 2007
References: Add references at CitEc
Citations View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link) ... RePEc&WT.mc_id=RePEc (text/html)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from
Emerald Group Publishing, Howard House, Wagon Lane, Bingley, BD16 1WA, UK
http://emeraldgroupp ... /journals.htm?id=jrf

Access Statistics for this article

Journal of Risk Finance is currently edited by Bonnie Buchanan

More articles in Journal of Risk Finance from Emerald Group Publishing
Series data maintained by Virginia Chapman ().

Page updated 2018-02-10
Handle: RePEc:eme:jrfpps:v:8:y:2007:i:5:p:489-507