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作者：Liu, Ernest; Roth, Benjamin N.
作者单位：Princeton University; Harvard University
摘要：Microcredit and other forms of small-scale finance have failed to catalyze entrepreneurship in developing countries. In these credit markets, borrowers and lenders often bargain over not only the interest rate but also implicit restrictions on types of investment. We build a dynamic model of informal lending and show this may lead to endogenous debt traps. Lenders constrain business growth for poor borrowers, yet richer borrowers may grow their businesses faster than they could have without cr...
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作者：Hacamo, Isaac; Kleiner, Kristoph
作者单位：Indiana University System; Indiana University Bloomington
摘要：Do social networks help firms recruit talented managers? In our setting, firms are randomly connected to prospective young managers through former employees. Under a discrete choice model, we find networks increase the likelihood firms hire high-ability managers, while having no effect on the hiring rate of low-ability managers. Effects are greatest for nonlocal firms, strong ties, and peers living in the same neighborhood. Survey evidence suggests social networks promote recruitment by provid...
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作者：Begley, Taylor A.; Srinivasan, Kandarp
作者单位：University of Kentucky; Northeastern University
摘要：Amid the emerging dominance of nonbanks, small banks use key financing advantages to persist in the mortgage market. We provide evidence of the heterogeneous impact of two shocks to the supply of mortgage credit: postcrisis regulatory burden and GSE financing cost changes. Small banks exploit regulation disproportionately affecting the largest four banks (Big4) and their ability to lend on balance sheet to strongly substitute for the retreating Big4. The erasure of guarantee fee (g-fee) discou...
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作者：Becker, Bo; Opp, Marcus M.; Saidi, Farzad
作者单位：Stockholm School of Economics; Center for Economic & Policy Research (CEPR); European Corporate Governance Institute; University of Bonn
摘要：We analyze the effects of a reform of capital regulation for U.S. insurance companies in 2009. The reform eliminates capital buffers against unexpected losses associated with portfolio holdings of MBS, but not for other fixed-income assets. After the reform, insurance companies are much more likely to retain downgraded MBS compared to other downgraded assets. This pattern is more pronounced for financially constrained insurers. Exploiting discontinuities in the reform's implementation, we can ...
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作者：Demirci, Irem; Ferreira, Miguel A.; Matos, Pedro; Sialm, Clemens
作者单位：Universidade Nova de Lisboa; Center for Economic & Policy Research (CEPR); European Corporate Governance Institute; University of Virginia; University of Texas System; University of Texas Austin; National Bureau of Economic Research
摘要：We show that mutual funds worldwide provide substantial international exposure through their domestic holdings of multinationals. The international exposure of domestic funds increases, on average, by 32 percentage points when we consider international corporate diversification. We find that funds with higher indirect international exposure perform better in both the cross-section and the time series. This effect is primarily driven by the fund managers' ability to invest in multinationals, ra...
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作者：Cespa, Giovanni; Gargano, Antonio; Riddiough, Steven J.; Sarno, Lucio
作者单位：City St Georges, University of London; Centre for Economic Policy Research - UK; University of Houston System; University of Houston; University of Toronto; University of Cambridge
摘要：We investigate the information contained in foreign exchange (FX) volume using a novel data set from the over-the-counter market. We find volume helps predict next-day currency returns and is economically valuable for currency investors. Predictability implies a stronger return reversal for currency pairs with abnormally low volume and is driven by the component of volume unrelated to volatility, liquidity, and order flow. We rationalize these findings via a simple model, in which FX volume he...
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作者：Akbari, Amir; Carrieri, Francesca; Malkhozov, Aytek
作者单位：Ontario Tech University; McGill University; Federal Reserve System - USA; Federal Reserve System Board of Governors
摘要：We show that constraints on using leverage for foreign positions can act as an international investment barrier. Guided by an international CAPM with leverage constraints, we use observed stock prices to measure the variation in the magnitude and the implicit cost of such cross-border funding barriers. Our measure helps explain the dynamics of global market integration and, in particular, its reversals documented in the literature, but not explained by other international investment barriers. ...
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作者：Rime, Dagfinn; Schrimpf, Andreas; Syrstad, Olav
作者单位：BI Norwegian Business School; Bank for International Settlements (BIS); Norges Bank
摘要：To understand deviations from covered interest parity (CIP), it is crucial to account for heterogeneity in funding costs across both banks and currency areas. For most market participants, the no-arbitrage relation holds fairly well when implemented using marginal funding costs and risk-free investment instruments. However, a few high-rated banks do enjoy CIP-arbitrage opportunities. Dealers avert inventory imbalances stemming from lower-rated banks' usage of FX swaps to obtain dollar funding ...
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作者：Brogaard, Jonathan; Pan, Jing
作者单位：Utah System of Higher Education; University of Utah; Southern Methodist University
摘要：Theory suggests that dark pools may facilitate or discourage information acquisition. We find that more dark pool trading leads to greater information acquisition. We measure information acquisition using stock price dynamics around earnings announcements. To overcome endogeneity concerns, we exploit a large exogenous decrease to dark pool trading that results from the implementation of the Security and Exchange Commission's (SEC's) Tick Size Pilot Program. The results cannot be explained by l...
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作者：Dyck, Alexander; Manoel, Paulo; Morse, Adair
作者单位：University of Toronto; University of Kentucky; University of California System; University of California Berkeley; United States Department of the Treasury
摘要：Public pension boards fear inciting stakeholder outrage if they compensate internal investment managers with market-level salaries. We derive theoretical implications in an agency-portfolio-choice model motivated by inequality aversion. In a global sample, relaxing the effect of outrage on contracting leads to an average annual incremental value-added of $49 million generated through 11 bps in higher excess returns from risky assets, at the cost of $302,429 in additional compensation. Governan...
