7. Which of the following contribute to positive bid-ask spreads? i. Transaction costs ii. Inventories iii. iv. Information Asymmetry Presence of Informed investors and Speculators a) All the above (i., ii., iii. and iv.) b) i. and ii. only c) i., ii., and iii. only d) i. and iii. only

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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7. Which of the following contribute to positive bid-ask spreads?
i. Transaction costs
Inventories
Information Asymmetry
Presence of Informed investors and Speculators
ii.
iii.
iv.
a)
All the above (i., ii., iii. and iv.)
b) i. and ii. only
c) i., ii., and iii. only
d) i. and iii. only
Transcribed Image Text:7. Which of the following contribute to positive bid-ask spreads? i. Transaction costs Inventories Information Asymmetry Presence of Informed investors and Speculators ii. iii. iv. a) All the above (i., ii., iii. and iv.) b) i. and ii. only c) i., ii., and iii. only d) i. and iii. only
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