EconPapers    
Economics at your fingertips  
 

Which institutions matter to short-term market efficiency in Japan?

Anxing Wang, Jimei Zhou and Tao Chen ()

Research in Economics, 2011, vol. 65, issue 3, 164-179

Abstract: Recent work suggests that institutional investors play an important role in short-term market efficiency. This study provides new evidence for the prevalence of this efficiency-enhancing effect by categorizing institutions into different types: foreign institutions, financial institutions, securities companies, government and regional public authorities, and other institutions. Looking at the Japanese market, we find that the presence of institutional investors, financial institutions in particular, improves the information environment. With respect to foreign institutions, this efficiency-enhancing effect is most clearly seen in trading costs and order imbalances. Robustness checks confirm that our findings are not driven by the endogeneity and time variation of ownership structure.

Keywords: Market; efficiency; Institutional; ownership; Japan (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1090944310000396
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:reecon:v:65:y:2011:i:3:p:164-179

Access Statistics for this article

Research in Economics is currently edited by Federico Etro

More articles in Research in Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2022-11-28
Handle: RePEc:eee:reecon:v:65:y:2011:i:3:p:164-179