We show that the moving averages (MAs) of stock market indices act as psychological barriers and affect investors' trading. Market indices do not move continuously near their MAs, especially in markets dominated by unsophisticated investors. Utilizing international markets data, we show that the...

In a product market with uncertain demand, we examine a distribution channel consisting of one manufacturer and one capital-constrained retailer. The retailer may fund its business by borrowing credit either from a competitive bank market or from the manufacturer, provided it is also to the...

This paper examines the impact of financing on the performance of a two-level supply chain consisting of a supplier and a budget-constrained retailer. To carry out our study, we set up a three-stage Stackelberg game under a wholesale price contract with a financial market. We show that financing...