Anand, Amber; Tanggaard, Carsten; Weaver, Daniel G. - Ehrvervøkonomisk Institut, Institut for Økonomi - 2005
One way to improve the liquidity of small stocks is to subsidize the providers of liquidity. These <p> subsidies take many forms such as informational advantages, priority in trading with incoming order flow, and fee rebates for limit order traders. In this study, we examine another type of subsidy...</p>