@techreport{Bannier2004elephants,
abstract = {Market participants often suspect that large traders have a disproportionate effect on financial markets, increasing the aggressiveness of market responses. Prior studies have shown that the impact of a large trader on a currency crisis depends positively on his size and informational position. By contrast, this article highlights the role that market sentiment has on the impact of a large trader. If the market believes that fundamentals are weak, then the probability of a crisis depends positively on the trader's size but negatively on the precision of his information, with these effects reversed in a generally optimistic market. A large player, therefore, need not make market responses more aggressive.},
address = {Kassel},
author = {Christina E. Bannier},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {F31; D82; 330; currency crises; large traders; market sentiment; coordination; private and public information; W\"{a}hrungskrise; Devisenspekulation; Asymmetrische Information; Theorie},
language = {eng},
number = {77},
publisher = {Univ., Fachbereich Wirtschaftswiss.},
title = {Big elephants in small ponds: do large traders make financial markets more aggressive?},
type = {Volkswirtschaftliche Diskussionsbeitr\"{a}ge},
url = {http://hdl.handle.net/10419/32146},
year = {2004}
}

