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= Chapter 1 Markets and Market Making
- how trading mechanisms affect the formation of prices  

= Chapter 2 Inventory Model
== Stoll's Model
Let $W_0$ be the initial wealth.

$tilde(W) = W_0 (1+tilde(R^*)) + (1+tilde(R_i))Q_i - (1+R_f)(Q_i-C_i)$

Also let $Q_i$ denote the true value of a transaction in stock $i$.