Please use this identifier to cite or link to this item:
Title: Costs and Benefits of Financial Regulation: Short-Selling Bans and Transaction Taxes
Authors: Ladley, Dan
Schenk-Hoppé, Klaus Reiner
Lensberg, Terje
First Published: 18-Nov-2014
Publisher: Elsevier
Citation: Journal of Banking & Finance, 2015, 51,pp. 103–118
Abstract: We quantify the effects of financial regulation in an equilibrium model with delegated portfolio management. Fund managers trade stocks and bonds in an order-driven market, subject to transaction taxes and constraints on short-selling and leverage. Results are obtained on the equilibrium properties of portfolio choice, trading activity, market quality and price dynamics under the different regulations. We find that these measures are neither as beneficial as some politicians believe nor as damaging as many practitioners fear.
DOI Link: 10.1016/j.jbankfin.2014.10.014
ISSN: 0378-4266
eISSN: 1872-6372
Version: Publisher Version
Status: Peer-reviewed
Type: Journal Article
Rights: Copyright © the authors, 2015. This is an open-access article distributed under the terms of the Creative Commons Attribution License ( ), which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.
Appears in Collections:Published Articles, Dept. of Economics

Files in This Item:
File Description SizeFormat 
SSRN-id2128599.pdfPost-review (final submitted)626.9 kBAdobe PDFView/Open

Items in LRA are protected by copyright, with all rights reserved, unless otherwise indicated.