HIGHLIGHTS
SUMMARY
The benefits brought by the intermediary may, nevertheless, exceed the welfare loss from its market power, even if it exploits both monopoly and monopsony power, due to the significant welfare losses from transaction costs and trade ratios in decentralised trade. Even with strong market power, the benefits from market liquidity and brokering services can exceed the welfare losses of market power, especially when transaction costs or trade ratios are high. The price of the mature credit was calculated so that the seller has the same net present value of the credit regardless of selling . . .
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