From 5988053fc5d6f20336e5cdf2a774ffacdfdece3d Mon Sep 17 00:00:00 2001 From: JingkunZhao Date: Wed, 21 Feb 2024 16:22:27 +1100 Subject: [PATCH 1/2] [present_values] Update present values lecture Fix `` Change 'divident' to 'dividend' --- lectures/pv.md | 4 ++-- 1 file changed, 2 insertions(+), 2 deletions(-) diff --git a/lectures/pv.md b/lectures/pv.md index 70c2801e..56beb1ab 100644 --- a/lectures/pv.md +++ b/lectures/pv.md @@ -72,9 +72,9 @@ We say equation**s**, plural, because there are $T+1$ equations, one for each $t Equations {eq}`eq:Euler1` assert that price paid to purchase the asset at time $t$ equals the payout $d_t$ plus the price at time $t+1$ multiplied by a time discount factor $\delta$. -Discounting tomorrow's price by multiplying it by $\delta$ accounts for the ``value of waiting one period''. +Discounting tomorrow's price by multiplying it by $\delta$ accounts for the ''value of waiting one period''. -We want to solve the system of $T+1$ equations {eq}`eq:Euler1` for the asset price sequence $\{p_t\}_{t=0}^T $ as a function of the divident sequence $\{d_t\}_{t=0}^T $ and the exogenous terminal +We want to solve the system of $T+1$ equations {eq}`eq:Euler1` for the asset price sequence $\{p_t\}_{t=0}^T $ as a function of the dividend sequence $\{d_t\}_{t=0}^T $ and the exogenous terminal price $p_{T+1}^*$. A system of equations like {eq}`eq:Euler1` is an example of a linear **difference equation**. From 47b44fc9a1769b904c1003ccaeb813806016b384 Mon Sep 17 00:00:00 2001 From: JingkunZhao Date: Tue, 27 Feb 2024 12:55:09 +1100 Subject: [PATCH 2/2] Update the quotation mark --- lectures/pv.md | 2 +- 1 file changed, 1 insertion(+), 1 deletion(-) diff --git a/lectures/pv.md b/lectures/pv.md index 56beb1ab..595f749e 100644 --- a/lectures/pv.md +++ b/lectures/pv.md @@ -72,7 +72,7 @@ We say equation**s**, plural, because there are $T+1$ equations, one for each $t Equations {eq}`eq:Euler1` assert that price paid to purchase the asset at time $t$ equals the payout $d_t$ plus the price at time $t+1$ multiplied by a time discount factor $\delta$. -Discounting tomorrow's price by multiplying it by $\delta$ accounts for the ''value of waiting one period''. +Discounting tomorrow's price by multiplying it by $\delta$ accounts for the "value of waiting one period". We want to solve the system of $T+1$ equations {eq}`eq:Euler1` for the asset price sequence $\{p_t\}_{t=0}^T $ as a function of the dividend sequence $\{d_t\}_{t=0}^T $ and the exogenous terminal price $p_{T+1}^*$.