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

( ii ) dσ dc − 1 2σ Therefore  dk dc − h σ [ 1 2 − 1 1−Rg′( h ) ]<0. MathType@MTEF@5@5@+=feaagCart1ev2aaatCvAUfeBSjuyZL2yd9gzLbvyNv2CaerbuLwBLnhiov2DGi1BTfMBaeXatLxBI9gBaerbd9wDYLwzYbItLDharqqtubsr4rNCHbGeaGqiVu0Je9sqqrpepC0xbbL8F4rqqrFfpeea0xe9Lq=Jc9vqaqpepm0xbba9pwe9Q8fs0=yqaqpepae9pg0FirpepeKkFr0xfr=xfr=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@690E@