Would derivatives markets be better off if the only people buying and selling derivatives contracts were hedgers?

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Would derivatives markets be better off if the only people buying and selling derivatives contracts were hedgers? Briefly explain.

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Money, Banking, and the Financial System

ISBN: 978-0134524061

3rd edition

Authors: R. Glenn Hubbard, Anthony Patrick O'Brien

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Question Posted: Jan 03, 2019 07:59 AM

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Would derivatives markets be better off if the only people buying and selling derivatives contracts were hedgers?

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Speculators play two important roles in derivatives markets ...View the full answer

Money, Banking, and the Financial System

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