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Define the bid-ask spread. How does the quoted spread differ from the effective spread? How is the bid-ask spread determined in equity markets? Hint: you

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Define the bid-ask spread. How does the quoted spread differ from the effective spread? How is the bid-ask spread determined in equity markets? Hint: you should refer to the components of the bid-ask spread in your response. How does the bid-ask spread relate to information asymmetry? Use your own words. Limit your response to 500 words

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