Bank monitoring incentives under moral hazard and adverse selection....
In this paper, we extend the optimal securitization model of Pag\`es [41] and Possama\"i and Pag\`es [42] between an investor and a bank to a setting allowing both moral hazard and adverse selection....
View ArticleThe Value of Timing Risk. (arXiv:1701.05695v1 [q-fin.PR])
The aim of this paper is to provide a mathematical contribution on the semi-static hedge of timing risk associated to positions in American-style options under a multi-dimensional market model. Barrier...
View ArticleThe Internet as Quantitative Social Science Platform: Insights from a...
With the large-scale penetration of the internet, for the first time, humanity has become linked by a single, open, communications platform. Harnessing this fact, we report insights arising from a...
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London Metal Exchange Chief Executive retires
Hong Kong Exchanges and Clearing Limited (HKEX), The London Metal Exchange (LME) and LME Clear (LMEC) (wholly-owned subsidiaries of HKEX) announced today (Monday) that Garry Jones, the LMEâs Chief...
View ArticleSocial Media and Fake News in the 2016 Election -- by Hunt Allcott, Matthew...
We present new evidence on the role of false stories circulated on social media prior to the 2016 US presidential election. Drawing on audience data, archives of fact-checking websites, and results...
View ArticleHow Do Patents Affect Research Investments? -- by Heidi L. Williams
While patent systems have been widely used both historically and internationally, there is nonetheless a tremendous amount of controversy over whether patent systems - in practice - improve the...
View ArticleWhen Children Rule: Parenting in Modern Families -- by Sebastian Galiani,...
During the 20th century there was a secular transformation within American families from a household dominated by the father to a more egalitarian one in which the wife and the children have been...
View ArticleDesigning Women: Consumer Goods Innovations in Britain, France and the United...
Economic studies typically underestimate incremental changes in consumer goods and design innovations that enhance allocative efficiency and structural dynamics. This paper assesses over 12,000...
View ArticleRegressive Sin Taxes -- by Benjamin B. Lockwood, Dmitry Taubinsky
A common objection to "sin taxes"--corrective taxes on goods like cigarettes, alcohol, and sugary drinks, which are believed to be over-consumed--is that they fall disproportionately on low-income...
View ArticleEstimating the Employment Effects of Recent Minimum Wage Changes: Early...
This paper presents early evidence on the employment effects of state minimum wage increases enacted between January 2013 and January 2015, and offers an interpretative framework to understand why it...
View ArticleBacktesting European Stress Tests -- by Thomas Philippon, Pierre Pessarossi,...
We provide a first evaluation of the quality of banking stress tests in the European Union. We use stress tests scenarios and banks' estimated losses to recover bank level exposures to macroeconomic...
View ArticleDiversity in Innovation -- by Paul A. Gompers, Sophie Q. Wang
In this paper we document the patterns of labor market participation by women and ethnic minorities in venture capital firms and as founders of venture capital-backed startups. We show that from...
View ArticleAggregating the Fertility Transition: Intergenerational Dynamics in Quality...
Fertility change is distinct from other forms of social and economic change because it directly alters the size and composition of the next generation. This paper studies how changes in population...
View ArticleDoes Competition Affect Bank Risk? -- by Liangliang Jiang, Ross Levine, Chen Lin
Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing theoretical perspectives and empirical results on the impact of competition on...
View ArticleComparing Apples to Oranges: Differences in Women's and Men's Incarceration...
Using detailed administrative records, we find that, on average, women receive lighter sentences in comparison with men along both extensive and intensive margins. Using parametric and semi-parametric...
View ArticleCauses and Consequences of Fragmented Care Delivery: Theory, Evidence, and...
Fragmented health care occurs when care is spread out across a large number of poorly coordinated providers. We analyze care fragmentation, an important source of inefficiency in the US healthcare...
View ArticleSecular Stagnation? The Effect of Aging on Economic Growth in the Age of...
Several recent theories emphasize the negative effects of an aging population on economic growth, either because of the lower labor force participation and productivity of older workers or because...
View ArticleAre Consumers Poorly-Informed about Fuel Economy? Evidence from Two...
It has long been argued that people are poorly-informed about and inattentive to fuel economy when buying cars, and that this causes us to buy low-fuel economy vehicles despite our own best interest....
View ArticleNarrative Economics -- by Robert J. Shiller
This address considers the epidemiology of narratives relevant to economic fluctuations. The human brain has always been highly tuned towards narratives, whether factual or not, to justify ongoing...
View ArticleLarge and State-Dependent Effects of Quasi-Random Monetary Experiments -- by...
Fixing the exchange rate constrains monetary policy. Along with unfettered cross-border capital flows, the trilemma implies that arbitrage, not the central bank, determines how interest rates...
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