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, and higher idiosyncratic volatility. The opposite result holds for acquisitions of public firms paid for with cash for … idiosyncratic volatility. We show that this evidence can best be explained by models that emphasize information asymmetries, but the …
Persistent link: https://www.econbiz.de/10012785450
. Empirical relationships between parameter estimates and price impacts and between parameter estimates and stochastic volatility … are consistent with theory. We illustrate how the estimates can be used to detect information events in the time series …
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We study an environment with short sale constraints and heterogeneous beliefs among outsiders and between insiders and outsiders. Firm insiders choose between equity, debt, and convertible debt to raise external financing. We analyze two settings: one where heterogeneous beliefs is the only...
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, and higher idiosyncratic volatility. The opposite result holds for acquisitions of public firms paid for with cash for … idiosyncratic volatility. We show that this evidence can best be explained by models that emphasize information asymmetries, but the …
Persistent link: https://www.econbiz.de/10012467917
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