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Russell J. Lundholm

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Open access Sep 2026

Estimating the Private Value of Financial Statement Statistics

We develop a method for estimating the private value of knowing the future realization of some financial statistics, and then we apply the measure to the familiar ratios from the DuPont decomposition of return on equity. The estimation is grounded in the standard rational expectations model, adapted to accommodate re...

Russell J. Lundholm, Xin Zheng · 0 citations

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