Spanish stock market sensitivity to real interest and inflation rates: an extension of the Stone two-factor model with factors of the Fama and French three-factor model

C-Tier
Journal: Applied Economics
Year: 2008
Volume: 40
Issue: 24
Pages: 3159-3171

Score contribution per author:

1.005 = (α=2.01 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This study is focussed on estimating the real interest and inflation sensitivity in Spanish market, proposing an extension of the Stone (1974) two-factor model and controlling for size and growth of the companies [Fama and French (1993) three-factor model], because of its importance in the stock sensitivity shown by previous literature. I also study the classical explanatory factors of the stock sensitivity: leverage and liquidity level of the firms. The Spanish stock response is similar to the response in other markets, and the 'size' is higher than 'growth' effect.

Technical Details

RePEc Handle
repec:taf:applec:v:40:y:2008:i:24:p:3159-3171
Journal Field
General
Author Count
1
Added to Database
2026-01-25