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作者：Zhong, Hongda; Zhou, Zhen
作者单位：University of Texas System; University of Texas Dallas; Centre for Economic Policy Research - UK; Tsinghua University
摘要：Many regulations aim to promote coordination among creditors in bankruptcy by ex post restricting their ability to exit distressed firms. However, such restrictions may harm creditors' ex ante incentives to stay invested, thereby worsening coordination outcomes. We build a dynamic coordination model to show how this force shapes creditor runs, bankruptcy filings, and regulation designs. Intriguingly, filing for bankruptcy early, thereby preserving more assets for latecomers, can prolong firm l...
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作者：Li, Jia; Phillips, Peter C. B.; Shi, Shuping; Yu, Jun
作者单位：Singapore Management University; Yale University; University of Auckland; Macquarie University; University of Macau
摘要：This paper explores implications of weak identification in common 'long memory' and recent 'rough' approaches to modeling volatility dynamics of financial assets. We unveil an asymptotic near-observational equivalence between a long memory model with weak autoregressive dynamics and a rough model with a near-unit autoregressive root. Standard methods struggle to distinguish them, and conventional asymptotics are invalid. We propose an identification-robust approach to construct confidence sets...
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作者：Slutzky, Pablo; Xu, Sheng-Jun
作者单位：University System of Maryland; University of Maryland College Park; University of Alberta
摘要：In the United States, a significant number of criminal defendants are held in pretrial detention and face substantial financial burdens. Matching individual-level criminal case records to household-level financial data, we exploit the quasi-random assignment of court commissioners to study how pretrial detention affects household solvency. We find that pretrial detention results in higher rates of household insolvency, driven by higher rates of chapter 7 bankruptcies and judgment liens, and hi...
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作者：Adelino, Manuel; Cheong, Sophia Chiyoung; Choi, Jaewon; Oh, Ji Yeol Jimmy
作者单位：Duke University; Centre for Economic Policy Research - UK; National Bureau of Economic Research; Hang Seng University of Hong Kong; Seoul National University (SNU); Korea University
摘要：This paper investigates how capital supply from mutual funds affects municipal bond financing, making three key contributions. First, we introduce an identification strategy using the rule-based update of Morningstar ratings for 5-year-old funds, isolating supply-side effects from fund and issuer fundamentals. The results indicate that exogenous fund flows increase bond issuance probability and decrease yields. Second, these fund flows lead to more issuances when funds and issuers are connecte...
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作者：Sastry, Parinitha
作者单位：University of Pennsylvania
摘要：Government-provided flood insurance contracts have strict coverage limits, leaving some households underinsured against flood risk. This paper exploits these strict coverage limits as well as staggered flood map updates to show that mortgage lenders screen for uninsurable flood risk by requiring lower loan-to-value ratios at origination. This credit rationing leads delinquency rates to equalize inside and outside of flood zones, and shifts the composition of mortgage borrowers in flood zones t...
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作者：Beaumont, Paul; Tang, Huan; Vansteenberghe, Eric
作者单位：McGill University; University of Pennsylvania; Centre for Economic Policy Research - UK; European Central Bank; Bank of France
摘要：This paper investigates the impact of introducing junior unsecured loans (i.e., FinTech loans) into the small business lending market. Using French administrative data, we find that firms experience a 13% increase in bank credit after receiving a FinTech loan. We use propensity score matching procedures and a shift-share instrument to account for credit demand. The credit increase only occurs when FinTech borrowers invest in new assets, and Fintech borrowers are subsequently more likely to ple...
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作者：Chen, Zhuo; Liu, Bibo; Wang, Huijun; Wang, Zhengwei; Yu, Jianfeng
作者单位：Tsinghua University; Auburn University System; Auburn University; Hong Kong University of Science & Technology
摘要：Previous research has revealed that return spreads between stocks with high and low characteristics-based factor beta remain insignificant. This study investigates the time variation in the pricing of various characteristics-based factors, uncovering a notable two-regime pattern: high-beta portfolios yield higher returns than low-beta portfolios after high-sentiment periods, while the opposite occurs after low-sentiment periods. Remarkably, this two-regime pattern is completely reversed for ma...
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作者：Tomunen, Tuomas
作者单位：Boston College
摘要：I test whether asset prices reflect risk exposures of financial intermediaries in a setting well-suited to tackling concerns about omitted risk factors. I analyze catastrophe bonds whose cash flows are linked to natural disasters and find that 71% of the security-level variation in expected returns can be explained by a theoretically motivated measure of intermediaries' marginal utility. Assuming natural disasters are independent of aggregate wealth, this result is inconsistent with any altern...
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作者：Filipovic, Zoran M.; Wagner, Alexander F.
作者单位：Universite PSL; Universite Paris-Dauphine; University of Zurich; Centre for Economic Policy Research - UK; European Corporate Governance Institute; Swiss Finance Institute (SFI)
摘要：Mergers and acquisitions are often motivated by an intention to create value from intangible assets. We develop a word list of intangibles and apply it to takeover announcements. One standard deviation more in intangible-related language (intangibles talk) lowers announcement returns for the acquirer by 0.53 percentage points and predicts worse operating performance. Bidder managers appear to believe in the deals nonetheless, as evidenced by insider trades, payment choices, and completion prob...
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作者：Rodemeier, Matthias
作者单位：Bocconi University
摘要：This paper estimates willingness to pay (WTP) for carbon mitigation from demand for carbon offsets in a field experiment with an online supermarket. The experiment randomizes whether the firm subsidizes the price of the offset or matches the offset's impact on carbon mitigation. Consumers are price-elastic but fully impact-inelastic, implying that they buy the offset but their WTP for the carbon it mitigates is zero. If the firm informs consumers that it contributes to the offset costs, WTP in...
