• Korea Trade Review
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• v.47 no.4
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• pp.1-14
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• 2022

This study examines the impact of trade facilitation on China's trade for the period 2010-2017 using a gravity model with a measurement of APEC trade facilitation through principal component analysis. The empirical results confirmed that trade facilitation was a key factor to have a positive effect on Chinese exports and that the higher the level of trade facilitation in APEC countries, the more positive the increase in exports and quantities with China. Further, the size of the economy, the total population, and the border between the trading partner had a positive effect on Chinese trade volume. To promote economic growth through increase in trade volume, countries should actively improve trade facilitation and participate in global trade facilitation reform through continuous cooperation with trading partners.

• Environmental and Resource Economics Review
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• v.21 no.1
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• pp.27-67
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• 2012

This paper analyzed the effect of transaction costs on the prices and trading volumes at the initial stage of emission markets and also examined how the size of the effect differs depending on the characteristics of the transactions. We built trading protocols modeling a recursive process to search the trading partner and make transactions with several behavioral assumptions considering the situations of early markets. The simulations results show that adding transaction costs resulted in reduction of trading volumes. Furthermore, the speed of reduction in trading volume to the increase of transaction costs is higher when there is scale economy. With a certain level of scale economy, the trading volumes abruptly fall down to almost zero as the transaction cost gets over a certain level. This suggests the possibility of a failed market. Since the scale economy is thought to be significant in the early stage of emission trading market, it is desirable to design a trading system that maximizes trading volumes and minimizes unit transaction costs at the outset. One of the alternatives to meet these conditions is to establish a centralized exchange and take measures to increase trading volumes.

• Korean Business Review
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• v.21 no.2
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• pp.1-16
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• 2008

This paper investigate the volume-volatility and volume-return relationship in the Korean Treasury Bond futures market using daily price and volume data categorized by three trader type i.e. individual investor, institutional investor and foreign investor over the period of October 1999 through December 2005. Major results are summarized as follows: (i) The effect of volume on return was not different across the trader type. (ii) The effect of volume on volatility was not unidirectional across the type of investor. While unexpected sell of individual investor has positive effects on volatility, negative effects in the case of institutional investor. (iii) We cannot find the evidence of asymmetric response of volatility to shock in trading volume or net position. This result differs from that of Korean Stock Price Index 200 futures market which showed strong positive asymmetry. Finally, some limitations of this paper and direction for further research were suggested.

• Journal of Intelligence and Information Systems
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• v.22 no.2
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• pp.81-96
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• 2016

As the internet has become widespread and easy to access everywhere, it is common for people to search information via online search engines such as Google and Naver in everyday life. Recent studies have used online search volume of specific keyword as a measure of the internet users' attention in order to predict disease outbreaks such as flu and cancer, an unemployment rate, and an index of a nation's economic condition, and etc. For stock traders, web search is also one of major information resources to obtain data about individual stock items. Therefore, search volume of a stock item can reflect the amount of investors' attention on it. The investor attention has been regarded as a crucial factor influencing on stock price but it has been measured by indirect proxies such as market capitalization, trading volume, advertising expense, and etc. It has been theoretically and empirically proved that an increase of investors' attention on a stock item brings temporary increase of the stock price and the price recovers in the long run. Recent development of internet environment enables to measure the investor attention directly by the internet search volume of individual stock item, which has been used to show the attention-induced price pressure. Previous studies focus mainly on Dow Jones and NASDAQ market in the United States. In this paper, we investigate the relationship between the individual investors' attention measured by the internet search volumes and stock price changes of individual stock items in the KOSDAQ market in Korea, where the proportion of the trades by individual investors are about 90% of the total. In addition, we examine the difference between industries in the influence of investors' attention on stock return. The internet search volume of stocks were gathered from "Naver Trend" service weekly between January 2007 and June 2015. The regression model with the error term with AR(1) covariance structure is used to analyze the data since the weekly prices in a stock item are systematically correlated. The market capitalization, trading volume, the increment of trading volume, and the month in which each trade occurs are included in the model as control variables. The fitted model shows that an abnormal increase of search volume of a stock item has a positive influence on the stock return and the amount of the influence varies among the industry. The stock items in IT software, construction, and distribution industries have shown to be more influenced by the abnormally large internet search volume than the average across the industries. On the other hand, the stock items in IT hardware, manufacturing, entertainment, finance, and communication industries are less influenced by the abnormal search volume than the average. In order to verify price pressure caused by investors' attention in KOSDAQ, the stock return of the current week is modelled using the abnormal search volume observed one to four weeks ahead. On average, the abnormally large increment of the search volume increased the stock return of the current week and one week later, and it decreased the stock return in two and three weeks later. There is no significant relationship with the stock return after 4 weeks. This relationship differs among the industries. An abnormal search volume brings particularly severe price reversal on the stocks in the IT software industry, which are often to be targets of irrational investments by individual investors. An abnormal search volume caused less severe price reversal on the stocks in the manufacturing and IT hardware industries than on average across the industries. The price reversal was not observed in the communication, finance, entertainment, and transportation industries, which are known to be influenced largely by macro-economic factors such as oil price and currency exchange rate. The result of this study can be utilized to construct an intelligent trading system based on the big data gathered from web search engines, social network services, and internet communities. Particularly, the difference of price reversal effect between industries may provide useful information to make a portfolio and build an investment strategy.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.73
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• pp.91-110
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• 2017

Recently, world wide trading which support free trade will increase the economic volume size. It will grow the quality of life. But, the reduce of gap between the rich state and the poor one has always been risen the problem of one of welfare. Trough unregulated trade activities, multinational corporations succeeded in expanding the market globally. However, there were unfair acts such as infringement of serious rights of producer of low development countries. Fair trade has begun to pay fair value to them and to ease inequality, but, as time went by, the its idea became thinner, distorted in the market, or became a marketing tools. So, In this paper, I analyze the limitations and causes of fair trade and suggest directions for fair trade. This Study provided a causes of the limitation of fair trade and for the future, I'll suggest an alternative of limitation of fair trade.

• Journal of Information Technology Applications and Management
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• v.26 no.3
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• pp.29-41
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• 2019

As users' interests of cryptocurrency has been increased, investment volume of it also increases. In the cryptocurrency market, it cannot always be distributed homogenous information to all investors, similar to the stock market because it reflects the characteristics of a market microstructure. Cryptocurrency traders, thus, like stock investors, can experience the information asymmetry in the market and cannot but help to depend on private information. The purpose of this study is to estimate the trading intensity of informed traders and uninformed traders among cryptocurrency investors around the world based on PIN (Probability of Informed Trading). We have an aim to compare the difference of information asymmetry according to the ten types of cryptocurrency. The results of this study are expected to prevent the continuous increase of suspicious transactions related to cryptocurrency and contribute to the development of a sound cryptocurrency market.

• Journal of the Korea Society of Computer and Information
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• v.7 no.2
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• pp.196-204
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• 2002

This paper examines the price discovery role of the KOSPI 200 futures index for its cash index. It was used the intrady data for KOSPI 200 and futures index from July 1998 to June 2001. The existing Preceding study for KOSPI 200 futures index was used the data of early market installation, but this study is distinguished to use a recent data accompanied with the great volume of transaction and various investors. We established three hypothesis to examine whether there is the price discovery role in the KOPSI 200 futures index and the characteristics of that. First, to examine whether the lead-lag relation is induced by the infrequent trading of component stocks, observations are sorted by the size of the trading volume of cash index. In a low trading volume, the long lead time is reported and the short lead time in a high volume. It is explained that the infrequent trading effect have an influence on the price discovery role. Second, to examine whether the lead-lag relation is different under bad news and good news, observations are sorted by the sign and size of cash index returns. In a bad news the long lead time is reported and the short lead time in a good news. This is explained by the restriction of"short selling" of the cash index Third, we compared estimates of the lead and lag relationships on the expiration day with those on days prior to expiration using a minute-to-minute data. The futures-to-spot lead time on the expiration day was at least as long as other days Prior to expiration, suggesting that "expiration day effects" did not demonstrate a temporal character substantially different form earlier days. Thus, while arbitrage activity may be presumed to be the greatest at expiration, such arbitrage transactions were not sufficiently strong or Pervasive to alter the empirical price relationship for the entire day. for the entire day.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.9
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• pp.9-24
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• 2022

With a view to attracting foreign investment and growing the economy, the Vietnamese government has hastened financial reforms, including the lifting of limitations on foreign investment, which has resulted in rapidly rising foreign ownership in recent years. To study the relationship between transactions of foreign investors and transactions of domestic investors on two stock exchanges in Vietnam Ho Chi Minh City Stock Exchange (HSX) and Hanoi Stock Exchange (HNX). This study applies a secondary dataset comprising daily market trading information of 912 stocks from 18 industries listed on 2 Vietnam stock exchanges, including HSX and HNX, which includes executed price, executed volume, daily Buy Orders, and Sell Orders categorized into domestic investors' orders and foreign investors orders from 01.04.2010 to 10.04.2018. The regression results show a significantly positive relationship between foreign investors' trading and domestic investors' transaction in all trading activities in both up and down markets. Therefore, these results indicate that domestic investors in Vietnam are concerned with foreign investors' trading as an important sign, and domestic investors tend to follow their counterparties without appropriate fundamental information. From there, there are signs of herding behavior of domestic investors following foreign investors in transactions on the stock market in Vietnam.

• Korean Business Review
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• v.18 no.1
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• pp.43-57
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• 2005

This paper investigate to test the validity of the basic assumptions of strategic trading models with the broker and informed trader using daily closing data of KOSPI 200 stock index futures for the year 2001-2003. Major results are summarized as follows: (i) For these years, while foreign investors and brokerage companies traded for the directions consistent with the model, brokerage companies and individual investors traded for inconsistent directions. (ii) Cross correlation function (CCF) analysis shows no systematic dependency in the trading between all three participants(foreign investor, brokerage companies and individual investors) for these years. (iii) Chi-square validity test for the 30 days of the largest unexpected trading volume shows some systematic dependency in the trading between three participants for these years. Finally, some limitations of this paper and direction for further research were suggested.

• Environmental and Resource Economics Review
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• v.32 no.3
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• pp.149-166
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• 2023

The emissions trading system, introduced to reduce greenhouse gas emissions, experienced a sharp increase in emission allowance prices during the second plan period (2018-2020), which led to an increase in the demand for smooth supply and demand of emission allowances, while suppliers anticipating a shortage of emission allowances in the future did not participate in trading. Therefore, the authority temporarily revised the guidelines to ensure that the amount of allowances carried forward is proportional to the trading volume as a market stabilization measure. Through an optimization process using a dynamic nonlinear mathematical model, this paper analyzes the impact of the government's intervention on the carryover policy on GHG emission reductions and emission allowance market prices. According to the simulation analysis results, banking regulations could cause a decline in prices during the regulation period, even though the initial policy was predicted to be adopted.