This paper presents an equilibrium model for the demand and supply of liquidity and its impact on asset prices and welfare. We show that when constant market presence is costly, purely idiosyncratic shocks lead to endogenous demand of liquidity and large price deviations from fundamentals....

"This paper presents an equilibrium model for the demand and supply of liquidity and its impact on asset prices and welfare. We show that when constant market presence is costly, purely idiosyncratic shocks lead to endogenous demand of liquidity and large price deviations from fundamentals....

This paper presents an equilibrium model for the demand and supply of liquidity and its impact on asset prices and welfare. We show that when constant market presence is costly, purely idiosyncratic shocks lead to endogenous demand of liquidity and large price deviations from fundamentals....

I show that endogenous investor inattention – investors allocating cognitive resources based on incentives – can explain substantial price underreaction to public information in corporate bond and stock markets. The key evidence is that prices under- react less to more payoff-relevant risks....

This paper presents an equilibrium model for the demand and supply of liquidity and its impact on asset prices and welfare. We show that when constant market presence is costly, purely idiosyncratic shocks lead to endogenous demand of liquidity and large price deviations from fundamentals....

Geschädigte von Verstößen gegen deutsches und europäisches Kartellrecht haben einen Anspruch auf den Ersatz des ihnen entstandenen Schadens (§ 33a GWB). In der Praxis gibt es oft einen Dissens zwischen Klägern und Beklagten darüber, wie hoch der entstandene Schaden tat sächlich ist. Zur...

The classical cobweb theorem is extended to include production lags and price forecasts. Price forecasting based on a longer period has a stabilizing effect on prices. Longer production lags do not necessarily lead to unstable prices; very long lags lead to cycles of constant amplitude. The...