A model of secular migration from centralized to decentralized trade

DOI10.1007/S00199-020-01280-2MaRDI QIDQ2059059zbMATH OpenOpenAlexFDO

Authors Zhifeng Cai, Feng Dong

Publication date 13 December 2021

Published in Economic Theory (Search for Journal in Brave)

Full work available at URL http://hdl.handle.net/10419/246484

zbMATH Keywords

adverse selectionexchange versus over-the-counter (OTC) marketfragmented financial marketsinstitutional investorssearch frictions

Mathematics Subject Classification ID

Financial markets (91G15)

Recommendations

• A Theory of Participation in OTC and Centralized Markets
• Periodic, complete-participation trade in the Lagos-Rocheteau model
• Trader matching and the selection of market institutions
• Competing on speed
• Markets versus negotiations: the predominance of centralized markets

Cites work

• A Liquidity-based Model of Security Design
• Adverse selection and liquidity distortion
• Adverse selection in competitive search equilibrium
• Bank Runs, Deposit Insurance, and Liquidity
• Competing on speed
• Continuous Auctions and Insider Trading
• Countervailing incentives in agency problems
• Credit search and credit cycles
• Entry and exit in OTC derivatives markets
• Information, liquidity, asset prices, and monetary policy
• Liquid bundles
• Liquidity in Asset Markets With Search Frictions
• Liquidity misallocation in an over-the-counter market
• On countervailing incentives
• Optimal disclosure policy and undue diligence
• Outside and inside liquidity
• Over-the-Counter Markets
• Participation constraints in adverse selection models
• The perils of credit booms
• Toxic asset bubbles
• Trading dynamics with adverse selection and search: market freeze, intervention and recovery

Cited in

(3)

• A Theory of Participation in OTC and Centralized Markets
• Periodic, complete-participation trade in the Lagos-Rocheteau model
• Asymmetric information, asset markets, and the medium of exchange

This page was built for publication: A model of secular migration from centralized to decentralized trade

Report a bug (only for logged in users!)Click here to report a bug for this page (MaRDI item Q2059059)