RDP 8707: Asymmetric Information and Bid-Ask Spreads in the Eurocurrency Markets Equation

( i ) dh dc − dR dc g( h )+Rg′( h ) dh dc dh dc −[ 1 1−Rg′( h ) ][ g( h )( − σ ∈ 2 ) σ 4 ]−[ 1 1−Rg′( h ) ][ −h σ 2 ] MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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jdiIoaabmaabaGaaeiAaaGaayjkaiaawMcaaaaaaiaawUfacaGLDbaadaWadaqaamaalaaabaGaeyOeI0IaaeiAaaqaaiabeo8aZnaaCaaaleqabaGaaGOmaaaaaaaakiaawUfacaGLDbaaaaaaaa@8495@