In this paper, we investigate the stock price behaviour of newly listed companies on the stock exchange market with an extremely high level of information asymmetry. We show a unique mechanism of how informed investors influence the stock prices before entering the market to consume abnormal...

This paper considers the effect of contracting limitations in risk-sharing networks, arisingfor example from observability, verifiability, complexity or cultural constraints. Wederive necessary and sufficient conditions for Pareto efficiency under these constraints ina general setting, and we...