Based on the premise that non-trading reflects illiquidity, we hypothesize that managers use stock splits to attract more uninformed trading so that market makers can provide liquidity services at lower costs, which increases investors’ trading propensity and improves liquidity. The improvement allows investors to face reduced liquidity risk and require a lower liquidity premium, which in turn ...

water quality trading is a new approach in pollution control which satisfies water quality standards suggesting minimum cost solutions. this method uses tradable discharge permits based on pollution transfer coefficient in a river. this paper tries to establish a water quality trading program in a river basin according to transfer coefficients between pollution sources and evaluate cost effecti...

This paper analyzes the potential role of emission trading systems for non-uniformly dispersed air pollutants, for which the geographical location of emissions has a significant impact on the location and extent of environmental damage. The paper derives the necessary conditions for trading schemes to be cost-effective and introduces the concept of offset rates. Offset rates describe the amount...

we describe a simple model that fits well with iranian economy, and extends a methodology which chary at el. (2007) demonstrated. in addition to four traditional wedges, we introduce additional trade wedge. we then evaluate the contribution of these wedges to the fluctuations in iran during last three years. because of international sanction, trading cost increases, and firms have difficulty to...

* The views expressed in this report are those of the authors and do not necessarily reflect those of the UNCTAD secretariat. Introduction The Kyoto Protocol authorizes four cooperative implementation mechanisms. These include bubbles, emission trades, joint implementation and the Clean Development Mechanism. Emissions trading, the focus of this report, allows trading of Òassigned amountsÓ amon...

* The views expressed in this report are those of the authors and do not necessarily reflect those of the UNCTAD secretariat. Introduction The Kyoto Protocol authorizes four cooperative implementation mechanisms. These include bubbles, emission trades, joint implementation and the Clean Development Mechanism. Emissions trading, the focus of this report, allows trading of Òassigned amountsÓ amon...

Uninformed investors facing future carrying cost (liquidity) shocks determine primary market prices for asset-backed securities. A liquidity provider subsequently buys tendered securities in competitive secondary markets. Liquidity provision is distorted by a speculator receiving a private signal regarding cash flow. Optimal structuring minimizes total trading loss and carrying cost discounts d...

Carbon pricing (taxes) and carbon emissions trading are two globally practiced carbon regulatory policy schemes. This paper presents an analytical supply chain planning model that can be used to examine the supply chain performance at the tactical/operational planning level under these two policy schemes. Model implementation and analyses are completed using actual data from a company operating...

We compare average impulse response of rate of return curves computed from more than sixty-seven years of historical Dow Jones Industrial, Transportation, and Utility Average closing values. The curves are relatively consistent in shape until the 1990s, when marked changes, indicative of improved market efficiency, occur for the Dow Jones Industrial Average. We argue that the effect is a result...