Entry and Exit Decisions Under Public and Private Information: An Experiment

2020 ◽  
Author(s):  
Aleksei Chernulich ◽  
John Horowitz ◽  
Jean Paul Rabanal ◽  
Olga Rud ◽  
Manizha Sharifova
Keyword(s):  
Private Information ◽  
Entry And Exit ◽  
Public And Private ◽  
Exit Decisions

The Public and Private Information Sources of Volatility

2011 ◽  
Author(s):  
Anne Opschoor ◽  
Michel van der Wel ◽  
Dick J. C. van Dijk ◽  
Nicholas Taylor
Keyword(s):  
Private Information ◽  
Information Sources ◽  
Public And Private ◽  
The Public

scholarly journals Delegated trade and the pricing of public and private information

2015 ◽  
Vol 60 (2-3) ◽  
pp. 8-32 ◽  
Author(s):  
Daniel J. Taylor ◽  
Robert E. Verrecchia
Keyword(s):  
Private Information ◽  
Public And Private

An investment model with entry and exit decisions

2000 ◽  
Vol 37 (2) ◽  
pp. 547-559 ◽  
Author(s):  
J. Kate Duckworth ◽  
Mihail Zervos
Keyword(s):  
Dynamic Programming ◽  
Closed Form ◽  
Production Scheduling ◽  
Analytic Solution ◽  
Investment Model ◽  
Programming Approach ◽  
Entry And Exit ◽  
Dynamic Programming Approach ◽  
Exit Decisions ◽  
Parameter Values

We consider an investment model which generalizes a number of models that have been studied in the literature. The model involves entry and exit decisions as well as decisions relating to production scheduling. We then address the problem of its valuation from the standpoint of the dynamic programming approach. Our analysis results in a closed form analytic solution that can take qualitatively different forms depending on parameter values.

Why Do IPO Offer Prices Only Partially Adjust?

2014 ◽  
Vol 04 (03) ◽  
pp. 1450009 ◽  
Author(s):  
Özgür Ş. İnce
Keyword(s):  
Initial Public Offering ◽  
Private Information ◽  
Information Acquisition ◽  
Structural Model ◽  
Public Information ◽  
Public And Private ◽  
New Information ◽  
Pricing Process ◽  
Ipo Pricing ◽  
Public Offering

This study develops a structural model of the initial public offering (IPO) pricing process that enables the estimation of adjustment rates for public and private pricing information gathered during bookbuilding. The estimated upward adjustment rate of public information is only 21%, significantly less than the 28% rate of private information. Adjustment rates decline towards the IPO date, especially for upward adjustments. The findings contradict information acquisition theories that predict a complete adjustment to public information and highlight the inefficiency of the IPO bookbuilding mechanism in handling new information even when information is publicly available and especially when it is favorable.

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