The Effect of Market Monitoring Costs on Price Limit Rules

• Main Authors: Ebrahim Abbasi, Mohammad Reza Rostami, Ziba Rhahmoradi
• Format: Article
• Language: fas
• Published: University of Tehran 2015-09-01
• Series: تحقیقات مالی
• Subjects: exercise price limit rules; price limit range; indicators of market monitoring
• Online Access: https://jfr.ut.ac.ir/article_57313_3b7b2b94a2251d35c065ce0ad8ffc706.pdf

This study examined the relationship between market monitoring cost consist the business disclosure index, the index of perception of corruption, rule of law and regulations quality, and also pointed out the technology index and exercise price limit rules that are in stock. <br />In this research the relationship between the above indicators to price limit rules applied during the period 2005-2010 in a sample of 37 countries, including members of the World Federation of Exchange, also Tehran Stock Exchange that Complete data in the interval have been investigated. To estimate the model we used of software Stata11, Eviews7, and Excel. The results show that there is a Significant negative relationship between business disclosure index, perception of corruption and technology index with Utilization Price limit rules. Whatever The value of this index is less likelihood used of further legislation. The second part of the study also showed that to be effective each of the five indicators of market monitoring cost price limit on the range.