Insider trading with different market structures
AbstractWe study an extension of Jain and Mirman (1999) with two insiders under three different market structures : (i) Cournot competition among the insiders, (ii) Stackelberg game between the insiders and (iii) monopoly in the real market and Stackelberg in the financial market. We show how the equilibrium outcomes are affected by each of the market structure. Finally we perform a comparative statics analysis between the models.
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Bibliographic InfoPaper provided by Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne in its series Documents de travail du Centre d'Economie de la Sorbonne with number 11056.
Length: 21 pages
Date of creation: Aug 2011
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Insider trading; Cournot; Stackelberg; correlated signals; Kyle model.;
Other versions of this item:
- Wassim Daher & Fida Karam & Leonard J. Mirman, 2011. "Insider Trading with Different Market Structures," UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers) halshs-00639657, HAL.
- G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies
- D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
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Documents de travail du Centre d'Economie de la Sorbonne
12014, Université Panthéon-Sorbonne (Paris 1), Centre d'Economie de la Sorbonne.
- Wassim Daher & Harun Aydilek & Fida Karam & Asiye Aydilek, 2012. "Insider Trading With Product Differentiation," UniversitÃ© Paris1 PanthÃ©on-Sorbonne (Post-Print and Working Papers) halshs-00676502, HAL.
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