The Real Effects of Financing and Trading Frictions
建立模型揭示股票流动性如何影响公司政策与价值：买卖价差不仅提高资本成本，还增加现金机会成本，降低现金储备、提高清算风险并减少公司价值，且流动性提供者的内部化会进一步扩大价差，形成双向关系。
Abstract I develop a model revealing the interplay between a stock’s liquidity and the policies and value of the issuing firm. The model shows that bid-ask spreads increase not only the firm’s cost of capital but also the opportunity cost of cash, then lowering cash reserves, increasing liquidation risk, and reducing firm value. These outcomes are stronger when internalized by liquidity providers, simultaneously leading to a wider bid-ask spread. A two-way relation between the firm and the liquidity of its stock arises, implying that shocks arising within the firm or in the stock market have more complex implications than previously understood.