Larry D. Neal
3070 Lane Woods Court
Columbus, OH 43221
NBER Program Affiliations:
NBER Affiliation: Research Associate
Institutional Affiliation: University of Illinois at Urbana-Champaign
Information about this author at RePEc
NBER Working Papers and Publications
|August 2005||The Highest Price Ever: The Great NYSE Seat Sale of 1928-1929 and Capacity Constraints|
with Lance E. Davis, Eugene N. White: w11556
A surge in orders during the stock market boom of the late 1920s collided against the constraint created by the fixed number of brokers on the New York Stock Exchange. Estimates of the determinants of individual stock bid-ask spreads from panel data reveal that spreads jumped when volume spiked, confirming contemporary observers complaints that there were insufficient counterparties. When the position of the NYSE as the dominant exchange became threatened, the management of the exchange proposed a 25 percent increase in the number of seats in February 1929 by issuing a quarter-seat dividend to all members. While such a "stock split" would be expected to leave the aggregate value of the NYSE unchanged, an event study reveals that its value rose in anticipation of increased efficiency. These...
Published: Davis, Lance E. & Neal, Larry & White, Eugene, 2007. "The Highest Price Ever: The Great NYSE Seat Sale of 1928 1929 and Capacity Constraints," The Journal of Economic History, Cambridge University Press, vol. 67(03), pages 705-739, September. citation courtesy of
|January 2003||Crises in the Global Economy from Tulips to Today|
with Marc D. Weidenmier
in Globalization in Historical Perspective, Michael D. Bordo, Alan M. Taylor and Jeffrey G. Williamson, editors
|September 2002||Crises in the Global Economy from Tulips to Today: Contagion and Consequences|
with Marc Weidenmier: w9147
This paper examines the historical record of the financial crises that have often accompanied surges of globalization in the past. The issue of contagion, the spread of financial turbulence from the crisis center to its trading partners, is confronted with historical and statistical evidence on the causes and consequences of well-known crises. In general, contagion seems often confused with prior interdependence, and crises are less widespread and shorter in duration than anecdotal evidence would indicate. Special attention is given to the gold standard period of 1880-1913, which we find useful to divide into the initial period of deflation, 1880-1896, and the following period of mild inflation, 1897-1913. We find evidence of changes in the pattern of 'contagion' from core to periphery cou...
Published: Bordo, Michael D., Alan M. Taylor, and Jeffrey G. Williamson (eds.) Globalization in Historical Perspective. Chicago and London: University of Chicago Press, 2003.