The goal of this paper is to examine the impact of 1975 Congressional mandate to integrate the trading of NYSE-listed stocks.

A greater threat of takeover has two opposing effects on managerial compensation. The competition effect in the market for managers reduces compensation. The risk effect increases compensation by making managers' implicitly deferred compensation and firm-specific human capital less secure.

The goal of this paper is to investigate whether specialists use quoted depth as a strategic choice variable. In particular, the paper investigates whether specialits manage quoted depth to reduce risks associated with information events. In order to study specialists' behavior, quoted depth...