''A Theory of Futures Market Manipulations''
A Discussion of Peter Kyle's Paper
Expert InsightsPublished 1983
This paper contains a discussion and modification of a model by Peter Kyle on manipulations in commodity futures markets. His paper constitutes one of the first attempts to apply the new dynamic theories used in industrial organization to futures trading. In particular, trading on inside information is modeled as a game of incomplete information. The discussion concludes by reviewing some stylized facts of the massive default on the May contract for Maine potatoes in 1976 and suggesting how the emerging theory of corners and squeezes can be modified to account for such an episode.
Document Details
- Copyright: RAND Corporation
- Availability: Web Only
- Year: 1983
- Pages: 22
- DOI: https://doi.org/10.7249/pubs
- Document Number: P-6938
Citation
RAND Style Manual
Salant, Stephen W., ''A Theory of Futures Market Manipulations'': A Discussion of Peter Kyle's Paper, RAND Corporation, P-6938, 1983. As of July 10, 2026: https://www.rand.org/pubs/papers/P6938.html
Chicago Manual of Style
Salant, Stephen W., ''A Theory of Futures Market Manipulations'': A Discussion of Peter Kyle's Paper. Santa Monica, CA: RAND Corporation, 1983. https://www.rand.org/pubs/papers/P6938.html.
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