Merging Markets
DOI
10.1111/0022-1082.00137
Abstract
We study the causes and effects of the competition for order flow by U.S. regional stock exchanges. We trace the origins of competition for order flow to a change in the role of regional exchanges from being venues for listing local securities to being more direct competitors for the order flow of NYSE listings. We study the way regionals competed for order flow, concentrating on a series of stock-exchange mergers that occurred in the midst of this transition of the regional exchanges. The merging exchanges attracted market share and experienced narrower bid-ask spreads.
Document Type
Restricted Article: Campus only access
Publication Date
12-17-2002
Publisher Statement
Copyright © 2002, Wiley.
DOI: https://doi.org/10.1111/0022-1082.00137
The definitive version is available at: https://onlinelibrary.wiley.com/doi/full/10.1111/0022-1082.00137
Recommended Citation
Thomas M. Arnold, Phil Hersch, J. Harold Mulherin, Jeffry Netter, "Merging Markets", Journal of Finance, 1999, Pg: 1083-1107. https://doi.org/10.1111/0022-1082.00137