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Stock Markets’ Instability, Integration and Volatility

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Capital Markets and Investment Decision Making

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Abstract

The extreme volatility in the stock market produces instability in the capital market, destabilize the value of currency, as well as hampers international trade and finance. Even, the growth and the stock market volatility are inversely related where causality exists. A developed stock market should be fundamentally more competitive with any other international stock markets in which floating exchange rate mechanism is determined.

Volatility is basically a function of uncertainty.

John Bollinger.

Kumar, R., & Dhankar Raj S. (2017). Financial instability, integration and volatility of emerging south asian stock markets. South Asian Journal of Business Studies, 6(2), 177–190, https://doi.org/10.1108/SAJBS-07-2016-0059.

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Authors and Affiliations

  1. Faculty of Management Studies (FMS), University of Delhi, New Delhi, India

    Raj S. Dhankar

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  1. Raj S. Dhankar
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Correspondence to Raj S. Dhankar .

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Dhankar, R.S. (2019). Stock Markets’ Instability, Integration and Volatility. In: Capital Markets and Investment Decision Making. Springer, New Delhi. https://doi.org/10.1007/978-81-322-3748-8_8

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