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Endogenous Liquidity and Defaultable Bonds

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NBER2012-09-01 更新2025-01-04 收录
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This paper studies the interaction between fundamental and liquidity for defaultable corporate bonds that are traded in an over-the-counter secondary market with search frictions. Bargaining with dealers determines a bond's endogenous liquidity, which depends on both the firm fundamental and the

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2012-09-01
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