Davutyan, Nurhan - In: Applied Economics Letters 4 (1997) 11, pp. 715-717
This paper uses the Demsetz-Bagehot theory of dealer services and bid-ask spreads to analyse the determinants of the bid and ask spread in the Kuwaiti foreign exchange market for dollars. The explanatory variables predicted by the theory are found to be significant. Idiosyncrasies arising from...