Options and Efficiency in Spaces of Bounded Claims

Supplementing a finite state-space static securities market with options obtains market completeness. This study concludes that options maintain the same spanning power in the space of bounded payoff topologized by its duality with the space of the state price densities.

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Year of publication:	2009-01-01
Authors:	Galvani, Valentina ; Troitsky, Vladimir
Institutions:	Department of Economics, University of Alberta
Subject:	spanning \| options \| market completeness \| efficiency

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Extent:	application/pdf
Series:	Working Papers.
Type of publication:	Book / Working Paper
Language:	English
Notes:	The text is part of a series Working Papers Number 2009-4 25 pages
Classification:	C00 - Mathematical and Quantitative Methods. General ; D61 - Allocative Efficiency; Cost-Benefit Analysis ; G10 - General Financial Markets. General ; G12 - Asset Pricing ; G19 - General Financial Markets. Other
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005069898