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Persistent link: https://www.econbiz.de/10001523900
We analyze competition among informed traders in the continuous-time Kyle(1985) model, as Foster and Viswanathan (1996) do in discrete time. We explicitly describe the unique linear equilibrium when signals are imperfectly correlated and confirm the conjecture of Holden and Subrahmanyam (1992)...
Persistent link: https://www.econbiz.de/10005303019