Identifying irregularities in a financial market
This paper shows how an economic approach might be used to provide corroborating evidence to aid investigations into irregularities in price setting in a defined financial market. Evidence on price movements in betting markets is used to suggest an economic framework within which price irregularities might formally be tested. The tests are applied to empirical data on price movements in UK betting markets. For the sample in question, there is no evidence to support allegations of pricing irregularities by individual odds reporters. Those involved in the regulation of betting markets might usefully incorporate this sort of approach into formal investigations of pricing irregularities.
Year of publication: |
2002
|
---|---|
Authors: | Paton, David ; Williams, Leighton Vaughan |
Published in: |
Applied Financial Economics. - Taylor & Francis Journals, ISSN 0960-3107. - Vol. 12.2002, 9, p. 633-637
|
Publisher: |
Taylor & Francis Journals |
Saved in:
Online Resource
Saved in favorites
Similar items by person
-
The growth of gambling and prediction markets : economic and financial implications
Paton, David, (2009)
-
Productivity measurement in gambling : plant-level evidence from the United Kingdom
Paton, David, (2010)
-
Gambling, prediction markets and public policy
Paton, David, (2010)
- More ...