Liquidity is an important feature for any domestic bond market, being associated with a well organized market. A liquid secondary government bond market must be of interest for any frontier economy policy-makers given the important benefits. The present paper is the first to investigate the...

Theoretical studies show that shocks to funding constraints should affect and be af-fected by market illiquidity. However, little is known about the empirical magnitude of such responses because of the intrinsic endogeneity of illiquidity shocks. This paper adopts an identification technique...

Theoretical studies show that shocks to funding constraints should affect and be affected by market illiquidity. However, little is known about the empirical magnitude of such responses because of the intrinsic endogeneity of illiquidity shocks. This paper adopts an identification technique...