Score contribution per author:
α: calibrated so average coauthorship-adjusted count equals average raw count
Motivated by mixed empirical evidence for the risk premium theory of Bessembinder and Lemmon (2002), I perform a replication study by rerunning simulations. The risk premium theory links forward premia to the statistical properties of the anticipated distribution of spot power prices in an equilibrium approach. My simulations, closely following those run in the original paper, support the first three hypotheses, but not hypothesis 4. An increase in mean demand can thus result in a lower forward premium for some ranges of parameter values. The replication results do not explain the mixed empirical support for the theory.