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5. (12%) Read the two news reports about China's Star market in Appendix 1 and Appendix 2. This Chinese equivalent of NASDAQ seemed to fade

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5. (12%) Read the two news reports about China's Star market in Appendix 1 and Appendix 2. This Chinese equivalent of NASDAQ seemed to fade after initial success. It was also claimed that listed company quality is a crucial issue. Please analyze how Star market made various regulatory changes in an attempt to improve listed company quality and market trading quality, and what are the possible reasons for the lack of success of these regulatory changes. (Hint: You may nd relevant arguments from the reading materials in the appendix)

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