We examine 120 Nasdaq and Over-the-Counter quot;buyquot; recommendations made by Internet sites from April 1999 to June 2001. The stock picks show substantial short and long run price and liquidity gains, although no new information is revealed about them. For example, one year after the pick...

This paper analyzes the impact of unanticipated changes in the federal funds rate target on equity prices, with the aim of both estimating the size of the typical reaction and understanding the reasons for the market's response. We find that over the June 1989-December 2002 sample period, a...

This paper addresses the effectiveness of fiscal policy at zero nominal interest rates. I analyze a stochastic general equilibrium model with sticky prices and rational expectations and assume that the government cannot commit to future policy. Real government spending increases demand by...