University of Bonn
Department of Economics
Institutional Affiliation: University of Bonn
NBER Working Papers and Publications
|December 2017||The Rate of Return on Everything, 1870–2015|
with Òscar Jordà, Katharina Knoll, Moritz Schularick, Alan M. Taylor: w24112
What is the aggregate real rate of return in the economy? Is it higher than the growth rate of the economy and, if so, by how much? Is there a tendency for returns to fall in the long-run? Which particular assets have the highest long-run returns? We answer these questions on the basis of a new and comprehensive dataset for all major asset classes, including housing. The annual data on total returns for equity, housing, bonds, and bills cover 16 advanced economies from 1870 to 2015, and our new evidence reveals many new findings and puzzles.