Ismiyanti, Fitri - In: The International Journal of Business and Finance Research 4 (2010) 3, pp. 67-77
Divergence of opinion causes market prices to differ from intrinsic values. Greater divergence of opinion results in larger bid/ask spreads. This study utilizes Miller’s theory (Miller, 1977) which states that differences between bid and ask prices (price spread) is caused by divergence...
