This paper studies the performance of pairs trading strategy under a specific spread model. Based on the empirical evidence of mean reversion and jumps in the spread between pairs of stocks, we assume that the spread follows a Levy-driven Ornstein-Uhlenbeck process with twosided jumps. To...

In this study, we integrate resource dependence theory and agencytheory to argue that state ownership has a dual (inducement and constraint) effect onemerging market firms’ export performance. Building on this inducement-constraintframework, we hypothesize a non-linear relationship between...