Lensberg, Terje; Schenk-Hoppé, Klaus Reiner; Ladley, Dan - In: Journal of Banking & Finance 51 (2015) C, pp. 103-118
We quantify the effects of financial regulation in an equilibrium model with delegated portfolio management. Fund managers trade stocks and bonds in an order-driven market, subject to transaction taxes and constraints on short-selling and leverage. Results are obtained on the equilibrium...