Metrics
21 File views/ downloads
134 Record Views
Journal article
Price movements and the prevalence of informed traders: The case of line movement in college basketball
Journal of economics and business, Vol.68, pp.70-82
68
2013
Web of Science ID: WOS:000213822900005
Abstract
Recent research has hypothesized that a higher concentration of informed traders in a market implies that prices are more efficient. A reasonable next question is whether large price movements in markets with a relatively more informed clientele are more indicative of information realization. We find line movements in college basketball games of relatively low profile, denoted by the lack of a “power conference” team in the contest, are significantly more likely to be the result of information realization. This confirms that substantial price changes in markets with fewer ordinary traders are more (less) likely indicative of information flow (noise).
Details
- Title
- Price movements and the prevalence of informed traders
- Publication Details
- Journal of economics and business, Vol.68, pp.70-82
- Resource Type
- Journal article
- Publisher
- Elsevier; United States
- Series
- 68
- Format
- pdf
- Copyright
- © 2013 Elsevier Inc. All rights reserved.
- Identifiers
- WOS:000213822900005; 99380090336706600
- Academic Unit
- Accounting and Finance; Lewis Bear Jr. College of Business
- Language
- English