Variable Interest Rate Under Continuous Ohlson Model And Case Study

The serial models proposed by Ohslon are the most important part in the modern investment theory.On the basis of the classical discounted cash flow model(DCF),they combine the merits of the DCF model and the econometric analysis of fundamental indicator,and link the financial data reflecting the fundamentals of company and the stock price.The prevailing stock valuation models are reviewed in the preface,and the Ohlson(1995) model is introduced briefly.For the importance of the Ohlson model and to facilitate further analysis,the model is extended to the stochastic continual case in the chapter 2.the continual cases of without perturbation and with perturbation are considered.The Ohlson model with changing interest rates is empirically assessed.The two methods of cross data and panel data are used in the empirical analysis.The panel data comparing to the cross data has advantages,and is necessary for the analysis of the Ohlson model.The result is that the other information v_t in the Ohlson model is important in the empirical assessment,and the Ohlson model is applicable in China.