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The Weight of Price - On the Structural Fomation of (Nominal) Market Prices

Authors: Tarek Josef el Sehity;

The Weight of Price - On the Structural Fomation of (Nominal) Market Prices

Abstract

A new method to the investigation of nominal prices is presented. Taking into account (a) the weight of a number’s digits, (b) the build-in characteristics of cardinal numbers in decimal notation, and (c) a probable misconception of decimal notation, the main features of nominal prices are demonstrated to be well predictable: the probability of market prices’ first digits obeys Benford’s Law due to (b); the length of prices, and the distribution of digits on the consecutive positions are determined by a price’s first digit, as well as by (a) and (c). A secondary data analysis from el Sehity, Hoelzl and Kirchler (2005) is undertaken on price data from 10 EMU-countries before and after the transition to the euro. Price structures of the former national currencies re-established in euro within one year according to (a), (b), and (c).

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
0
Average
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