Faias, Marta; Luque, Jaime - Departamento de Economía, Universidad Carlos III de Madrid - 2011
bourse in order to trade assets. We show, by means of examples, that: 1) traders’ complementarities in preferences and … endowments can determine the formation of both large bourses and bourses that are small dark pools of liquidity; 2) bourse … formation costs explain the existence of bourses with incomplete markets. For this bourse economy equilibrium is shown to exist …