3.

a) Does open outcry trading make sense anymore? Compare some advantages and disadvantages of open-outcry venues to venues featuring electronic centralized limit order books.

b) As one of the more senior exchange officials, you have been tasked to design a trading system for illiquid securities with the objective of improving both their liquidity and price discovery mechanisms. Outline 3 key design features that you would incorporate to achieve this objective. Please provide reasons for each of your suggested design features.