When did the JGB market become efficient?

n the second half of the 1990s, the Japanese Ministry of Finance (MoF) and the Tokyo Stock Exchange (TSE) accelerated government bond market reform with the aim of increasing market liquidity in preparation for heavy issuance of Japanese government bonds (JGBs). This reform involved the MoF increasing the variety of JGBs available and shifted the issuance procedure from a syndicated approach to one involving competitive bidding. In response to investor demand, the TSE opened a long-term bond fut

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