All Outputs (4)

Why doesn’t Luxembourg send all its capital to India? (2008)
Journal Article
Taub, B., & Zhao, R. (2008). Why doesn’t Luxembourg send all its capital to India?. Journal of Macroeconomics, 30(4), 1335-1346. https://doi.org/10.1016/j.jmacro.2008.04.002

In the standard neoclassical model, when two countries with disparate capital levels open to trade, the capital-rich country exports capital to the capital-poor country. This hastens growth in the poor country and generates income for the rich countr... Read More about Why doesn’t Luxembourg send all its capital to India?.

Cross-asset speculation in stock markets (2008)
Journal Article
Bernhardt, D., & Taub, B. (2008). Cross-asset speculation in stock markets. Journal of Finance, 63(5), 2385-2427. https://doi.org/10.1111/j.1540-6261.2008.01400.x

In practice, heterogeneously informed speculators combine private information about multiple stocks with information in prices, taking into account how their trades influence the inferences of other speculators via prices. We show how this speculatio... Read More about Cross-asset speculation in stock markets.

The dynamics of strategic information flows in stock markets (2008)
Journal Article
Seiler, P., & Taub, B. (2008). The dynamics of strategic information flows in stock markets. Finance and Stochastics, 12(1), 43-82. https://doi.org/10.1007/s00780-007-0046-4

We model a stock market with multiple stocks in a dynamic setting. Multiple informed traders receive new and heterogeneous information about the stocks in each period and use this information strategically. We characterize the decay rate of the infor... Read More about The dynamics of strategic information flows in stock markets.

Front-running dynamics (2008)
Journal Article
Bernhardt, D., & Taub, B. (2008). Front-running dynamics. Journal of Economic Theory, 138(1), 288-296. https://doi.org/10.1016/j.jet.2007.05.005

We integrate a monopolist dual trader into a dynamic model of speculation. In static settings, [J.-C. Rochet, J.-L. Vila, Insider trading without normality, Rev. Econ. Stud. 61 (1994), 131–152] establish an irrelevance result—expected equilibrium out... Read More about Front-running dynamics.