Stock Returns and Expected Business Conditions: Half a Century of Direct Evidence
股票收益与预期商业状况:半个世纪的直接证据
Using survey data, we characterize directly the impact of expected business conditions on expected excess stock returns. Expected business conditions consistently affect expected excess returns in a counter-cyclical fashion. Moreover, inclusion of expected business conditions in otherwise-standard predictive return regressions substantially reduce the explanatory power of the conventional financial predictors, including the dividend yield, default premium, and term premium,…