Asset Illiquidity and Market Shutdowns in Competitive Equilibrium

This paper introduces asymmetric information into a competitive asset market in a dynamic general-equilibrium model with borrowing constraints. In the presence of borrowing constraints, asset sales become a crucial means for agents to finance opportunities to invest in new assets. In this environmen...

Full description

Bibliographic details

Volume:	15
Main Author:	Tomura, Hajime
Format:	Journal Article
Language:	English
Place of publication:	Elsevier for the Society for Economic Dynamics 2012
published in:	Review of Economic Dynamics Vol. 15; no. 3; pp. 283 - 294
Data of publication:	2012
Series:	Review of Economic Dynamics
Subjects:	Adverse selection; asset price; liquidity; market shutdown; economic growth
Online Access:	available in Bonn?
Database:	RePEc RePEc IDEAS Database information Databases - DBIS