Predictability of Returns and Cash Flows
33 Pages Posted: 12 Dec 2010 Last revised: 9 Jan 2011
Date Written: January 6, 2011
We review the literature on return and cash flow growth predictability form the perspective of the present-value identity. We focus predominantly on recent work. Our emphasis is on U.S. aggregate stock return predictability, but we also discuss evidence from other asset classes and countries.
Keywords: return predictability, present-value moel, dividend growth predictability
JEL Classification: G10, G12, G14, G35
Suggested Citation: Suggested Citation