There has been a long debate about whether speculators are stabilizing or not.We consider a model where speculators have a stabilizing role in normal times,but may also provoke large risk panics. The very feature that makes arbitrageursliquidity providers in normal times, namely their tolerance...

This paper analyzes the trade-off between official liquidity provision and debtor moral hazard ininternational financial crises. In the model, crises are caused by the interaction of bad fundamentals,self-fulfilling runs and policies by three classes of optimizing agents: international...

The goal of this paper is to assess, for the first time, the empirical impact of "Kaynes' beauty contest", or "higher order belief", on asset price volatility. The paper shows that heterogeneous expectations induce higher order beliefs and that heterogeneous expectation asset pricing models...

Das Thema der vorliegenden Diplomarbeit sind optimale Hedging- und Spekulationsstrategien für einen Unternehmer, der an einer internationalen Ausschreibung teilnimmt. Im Kapitel 2 werden das Entscheidungsproblem und die für alle nachfolgenden Abschnitte gemeinsamen Annahmen ausführlich...

This paper explains a currency crisis as an outcome of a switch in how monetarypolicy and fiscal policy are coordinated. The paper develops a model of an open economy in which monetary policy starts active, fiscal policy starts passive and, in a particular state of nature, monetary policy...

The paper describes how two types of traders, marketmakers and speculators, establish their positions and manage their risk exposure. We show that balance sheets are insufficient to determine whether a trader is a marketmaker or a speculator.(...)

Am 27. 10. 2010 hat die Fraktion der SPD im Bundestag einenEntwurf zur Änderung des Wertpapiererwerbs- undÜbernahmegesetzes (WpÜG) eingebracht.1 Danach soll § 35 WpÜGgeändert werden. Nach bisherigem Recht muß ein Investor, derunmittelbar oder mittelbar die „Kontrolle“ über eine...

The legal environment for Securities Prospectuses in Germany has changed dramatically withthe implementation of the German Securities Prospectus Act (Wertpapierprospektgesetz- WpPG) and the Commission Regulation (EC) No. 809/2004 of 29 April 2004 (ProspectusRegulation) regulating their content...