Schröder J. Manipulations in Prediction Markets: Analysis of Trading Behaviour not Conforming with Trading Regulations

Universität Karlsruhe, 2009. — 180 p.
Fraud and manipulation in prediction markets are systematic results of incentive incompatibility, which, if present, have to be detected and balanced. "Manipulations in Prediction Markets" gives a critical insight into manipulations that are most likely to occur in prediction markets. In a general approach the book discusses the issue of incentives in markets and the breakdown of the incentive system. On this basis a new way of detecting irregular trading behaviour is introduced.