A MODEL OF FINANCIAL MARKET LIQUIDITY BASED ON INTERMEDIARY CAPITAL
نویسندگان
چکیده
منابع مشابه
A Model of Financial Market Liquidity Based on Intermediary Capital
We present a model of financial market liquidity provided by financially constrained intermediaries. We show that market liquidity increases with the level of intermediary capital. We also characterize conditions under which intermediaries play a stabilizing or destabilizing role in markets. Finally, we sketch a number of areas, including welfare and public policy, on which the model can shed l...
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ژورنال
عنوان ژورنال: Journal of the European Economic Association
سال: 2010
ISSN: 1542-4766
DOI: 10.1111/j.1542-4774.2010.tb00516.x