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Market makers provide liquidity to the market by quoting bid and ask prices for most of the time. The pricing in absolute terms is not as important as finding relative mispricing. The market microstructure is often used to develop trading strategies.
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Recommendations for a text on game theory in the context of market making?
I am looking for a textbook that can give me an introduction to game theory, and also practice problems that can help me build skills to tackle game theory questions.
I'm asking this in the context o …