This paper studies a novel type of misallocation of credit between investments of varying liquidity. One type of …-term welfare and output in a constrained inefficient equilibrium if it raises the liquidity of the liquid type. I show a maximum …

stock liquidity. Our results show that the exit threat is closely associated with shares' tradability and to the extent that … tradable (non-tradable) blockholders can discipline management through exit threats, they exert a positive (negative) liquidity … liquidity-induced tradable block ownership, as shown by the difference-in-differences analysis based on the split …

' liquidity, presenting further international evidence that firms supported by liquid equity markets realize improved economic … through enhancing market liquidity. It examines the impact on market liquidity of two significant U.S. Securities and Exchange … delivering corporate governance through increased market liquidity …

, liquidity may vanish even if small, riskneutral buyers could easily compensate the ongoing selling. Thus, more markets are …

investments are typically observed at low frequency and are determined by transactions under low liquidity. This contribution …

We investigate whether the liquidity premium is better explained by the risk-based model or the characteristic …-based model. Based on three widely-used liquidity measures that are supposed to reflect different aspects of liquidity, we find … that liquidity as a characteristic carries a significant liquidity premium that is beyond the size and book …

triggers, such as capital ratios of banks, are reached. These have the potential of providing an automatic source of liquidity … without having to go through bankruptcy or getting bailouts' money. We present a model of liquidity with two types of … the other produces liquidity via an elastic supply of funds but with much less information. The model generates a critical …

We provide the first empirical evidence of a non-linear relationship between funding liquidity and market liquidity (FL …-ML). The relationship depends on the state of business cycle, firm volatility, and the regulatory regime. Due to heightened …

in liquidity …

aggressive use of both traditional monetary policy instruments and innovative tools in an effort to provide liquidity. In this …