Tick Size, Share Prices, and Stock Splits
研究最小报价单位规则如何解释各国股票价格的差异，以及公司为何通过股票拆分来优化相对最小报价单位，并分析其对市场流动性和报价价差的影响。
Minimum price variation rules help explain why stock prices vary substantially across countries, and other curiosities of share prices. Companies tend to split their stock so that the institutionally mandated minimum tick size is optimal relative to the stock price. A large relative tick size provides an incentive for dealers to make markets and for investors to provide liquidity by placing limit orders, despite its placing a high floor on the quoted bid-ask spread. A simple model suggests that idiosyncratic risk, firm size, and visibility of the firm affect the optimal relative tick size and thus the share price.