Using a Modified Dividend Discount Model for Stock Market Games

Yu, Geungu, Jean-Claude Assad, and Phillip Fuller. “Using A Modified Dividend Discount Model For Stock Market Games.” Southwestern Economic Review, (Spring 2017) 44 (1) :29-42

14 Pages Posted: 1 Jun 2017

See all articles by Geungu Yu

Geungu Yu

Jackson State University

Jean-Claude Assad

Jackson State University - Economics and Finance

Phillip Fuller

Jackson State University

Date Written: NOV 1, 2016

Abstract

This paper presents a dividend discount model (DDM) modified for high-growth stocks as an investment decision tool for participants of stock market games. The participants input data from Value Line Investment Survey reports to the modified DDM for making their investment decisions. Comparing pre- and post-tests of economic and financial literacy on participants conducted during a stock market game period, the authors of this paper find anecdotal evidence that the performance improvement of the experimental group is statistically significant at 0.1 level, confirming the usefulness of the game for improving economic and financial literacy.

Keywords: financial literacy, stock market game

JEL Classification: A20, G11, l25

Suggested Citation

Yu, Geungu and Assad, Jean-Claude and Fuller, Phillip, Using a Modified Dividend Discount Model for Stock Market Games (NOV 1, 2016). Yu, Geungu, Jean-Claude Assad, and Phillip Fuller. “Using A Modified Dividend Discount Model For Stock Market Games.” Southwestern Economic Review, (Spring 2017) 44 (1) :29-42 , Available at SSRN: https://ssrn.com/abstract=2976546

Geungu Yu (Contact Author)

Jackson State University ( email )

1400 John R. Lynch St
Jackson, MS 39217
United States

Jean-Claude Assad

Jackson State University - Economics and Finance ( email )

Jackson, MS 39217
United States

Phillip Fuller

Jackson State University ( email )

1400 John R. Lynch St
Jackson, MS 39217
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
108
Abstract Views
739
rank
349,799
PlumX Metrics