Glosten and milgrom information asymmetry model

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In the Glosten and Milgrom Information Asymmetry Model, are dealer spreads greater if all traders (excluding the dealer) are fully informed and know what prices will be or if all traders are uninformed and trade on noise? Why? b. How is price uncertainty reflected in the Glosten and Milgrom model?

Reference no: EM133629824

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Glosten and milgrom information asymmetry model : In the Glosten and Milgrom Information Asymmetry Model, are dealer spreads greater if all traders (excluding the dealer) are fully informed
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