liquidity of their primary market, at the cost of reducing secondary market liquidity or even causing it to freeze. The degree … of transparency is inefficiently low if the social value of secondary market liquidity exceeds its private value. We … analyze various types of public intervention — mandatory transparency standards, provision of liquidity to distressed banks or …

they must deliver the asset they borrowed. That asset enjoys greater liquidity, measured by search times, and a higher … lending fee ('specialness'). Liquidity and specialness translate into price premia that are consistent with no-arbitrage. We …

This Paper investigates the impact of ownership patterns on the way the firm is monitored, on the liquidity of its … selection discount required by less informed investors to trade, reducing the firm’s liquidity. Both effects are properly … prices, but the lower liquidity induced by their presence tends to reduce prices. …

. Lack of liquidity means that an asset cannot be immediately traded at any point in time. We find the portfolio share of … financial wealth invested in illiquid assets given the liquidity premium. Benchmark calibrations imply a portfolio share of 2 …

We examine how liquidity and asset prices are affected by the following market imperfections: asymmetric information …

liquidity may be related positively to the longer-term probability of default. Our empirical analysis confirms these predictions …

This paper examines the extent to which individual investors provide liquidity to the stock market, and whether they … predict short-term future returns is significantly enhanced during times of market stress, when market liquidity provisions … uncertainty. Despite this high aggregate performance, individual investors do not reap the rewards from liquidity provision …