Articlegreen2012

Asset Liquidity and Stock Liquidity

Radhakrishnan Gopalan · Ohad Kadan · Mikhail B. Pevzner

199 citations0/0 files storedJournal of Financial and Quantitative Analysis

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Corporate Finance and Governance Financial Markets and Investment Strategies Financial Analysis and Corporate Governance

Abstract

Abstract We study the relation between asset liquidity and stock liquidity. Our model shows that the relation may be either positive or negative depending on parameter values. Asset liquidity improves stock liquidity more for firms that are less likely to reinvest their liquid assets (i.e., firms with less growth opportunities and financially constrained firms). Empirically, we find a positive and economically large relation between asset liquidity and stock liquidity. Consistent with our model, the relation is more positive for firms that are less likely to reinvest their liquid assets. Our results also shed light on the value of holding liquid assets.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 199 citations exist upstream.

References

1991Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations 1973The Pricing of Options and Corporate Liabilities 1973Risk, Return, and Equilibrium: Empirical Tests 1977Determinants of corporate borrowing 2002Illiquidity and stock returns: cross-section and time-series effects 1985Continuous Auctions and Insider Trading 2008The cost of capital, corporation finance and the theory of investment 1991Earnings Management During Import Relief Investigations

Cited by

2014Real Asset Illiquidity and the Cost of Capital 2022Mandatory CSR expenditure and stock market liquidity 2020Do Banks Price Firms' Data Breaches?2010Excess Cash and Stock Returns 2019Stock liquidity and corporate tax avoidance 2014Relevant but Delayed Information in Negotiated Audit Fees

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.