The Variation of Economic Risk Premiums


You need to answer the questions in the attached file finm810.pdf according to the attached file fersonHarvey.PDF

Write an essay of 1500 words


Item Criteria for the marker to consider:
1. Understanding the

▪ Does the report contain a detailed description of the paper?
− What are the research questions tested by the authors and what are the answers
(including the specific evidence / results)?
− Are the research questions specific, measurable, attainable, realistic and timely
(Is the SMART framework for research questions followed)?
− What are the key assumptions of the paper (limit these to three or four)?
− What is the theoretical background of the paper? Is it purely empirical?
− What is unclear in the paper that will make any replication attempts more difficult
and subjective?

2. Understanding the
what, why and
how of the paper

▪ What is the specific contribution(s) and motivation(s) of the paper? What is new about
the research? Why should the readers care about this topic and paper?
▪ How is the research conducted?
− What are the equations, tests and estimations of the paper? What is unclear in
the description of the methodology provided in the paper?
− How are these equations populated? What databases and datasets are
employed to conduct the research? Are the same databases and datasets still
available now?
− In terms of methodology and data chapters, is enough detail provided in the
paper to conduct a full replication of the empirical tests? If not, what is missing or
− Do the authors discuss the tradeoffs or limitations of the selected methods?
What robustness testing does the paper employ?

3. Understanding the
results and
conclusions of the

▪ What are the key results of the paper? How do the authors interpret the results to form
conclusions about the conducted research? What are the conclusions of the paper?
▪ What do the authors say about the meaning of the reported results in the context of the
literature cited in the paper?

4. Overall evaluation
of the report

Marks may be awarded at discretion for the following:
▪ Evidence of understanding of the concepts being investigated by the paper
▪ Additional (and relevant) analysis and commentary provided by the student
▪ Impressed with the quality of work
▪ Use of an appropriate report structure
− The use of an introduction-body-conclusion report structure is advised but can be
modified as required by the student