Gorton, Gary; He, Ping; Huang, Lixin - In: American Economic Journal: Microeconomics 2 (2010) 4, pp. 137-70
Trade in securities markets is conducted by agents acting for principals, using "mark-to-market" contracts whereby performance is assessed using security market prices. We endogenize contract choices, information production, informed trading, and security price informativeness. But there is a...