Market Transparency and Call Markets

Arbeitspapier

This paper reports the results of 16 experimental asset markets that explore the effects of trade transparency on the price formation process and its results using a more realistic design than related studies. The open orderbook does not improve informational efficiency and does not result in higher liquidity (lower transaction costs). An increase in information intensity leads to both higher trading volume and higher volatility in both orderbook treatments. The comparison shows that they only differ in price volatility which is higher with an open orderbook. The market results mentioned above are confirmed by analyses on the individual level.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Diskussionsbeiträge - Bank- und Finanzwirtschaftliche Forschung (BAFIFO) ; No. 6

Classification and Topics

• Classification: Wirtschaft ; Asset Pricing; Trading Volume; Bond Interest Rates ; Auctions ; Information and Market Efficiency; Event Studies; Insider Trading
• Subject: Market Microstructure ; Experimental Asset Markets ; Orderbook Transparency ; Individual Behavior in Call Markets ; Börsenkurs ; Volatilität ; Börsenspiel ; Informationseffizienz ; Börsenumsatz ; Mikrostrukturanalyse ; Theorie

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Oehler, Andreas ; Unser, Matthias
• Event: Veröffentlichung
• (who): Otto-Friedrich-Universität Bamberg, Lehrstuhl für Betriebswirtschaftslehre, insbesondere Finanzwirtschaft
• (where): Bamberg
• (when): 1998

Further information

• Handle: http://hdl.handle.net/10419/22489
• Last update: 10.03.2025, 11:43 AM CET