New Paper out!

We are excited to announce our new co-authored publication, "A test of the Modigliani-Miller theorem, dividend policy and algorithmic arbitrage in experimental asset markets," now available in the Journal of Banking and Finance. Our study experimentally tests the Modigliani-Miller theorem in a complete market, examining the impact of dividend policy and algorithmic arbitrage on the law of one price. Our findings reveal that Modigliani-Miller's law of one price breaks down when dividend payment order is independent but is restored by the presence  of an algorithmic arbitrageur.

Discover more in our article: https://www.sciencedirect.com/science/article/pii/S0378426623000390​