-
作者：Cheng, Zhi (Aaron); Dong, Zhanyu; Pang, Min-Seok
作者单位：University of London; London School Economics & Political Science; Sun Yat Sen University; Sun Yat Sen University; University of Wisconsin System; University of Wisconsin Madison
摘要：Traffic safety poses a persistent challenge for society and public policy. Conventional law enforcement by human police is often cost-ineffective because of information asymmetry and negative externalities of unsafe driving behaviors. Automated enforcement, in the form of traffic cameras on the road, has gained prominence in recent decades, yet its effectiveness and underlying mechanisms remain debated. This study examines the impact of traffic cameras on road safety using longitudinal data fr...
-
作者：Ivashina, Victoria; Vallee, Boris
作者单位：Harvard University; National Bureau of Economic Research
摘要：Using novel data on 1,240 credit agreements, we investigate sources of contractual complexity in the leveraged loan market. Although negative covenants are widespread, carve-out and deductible clauses that qualify them are as frequent. We propose simple and comprehensive measures of contractual weakness based on the usage of such clauses. The economic significance of the actions allowed by these clauses and the market wide price reaction that followed the 2017 J.Crew restructuring, a high-prof...
-
作者：Cong, Will; Harvey, Campbell; Rabetti, Daniel; Wu, Zong-Yu
作者单位：Cornell University; Fudan University; National Bureau of Economic Research; Duke University; National University of Singapore
摘要：The advent of cryptocurrencies and digital assets holds the promise of improving financial systems by offering cheap, quick, and secure transfer of value. However, it also opens up new payment channels for cybercrimes. Assembling a diverse set of public on- and off-chain, proprietary, and hand-collected data, including attacker-victim negotiations and dark web conversations in Russian, we present an initial anatomy of cryptoenabled cybercrimes, highlighting relevant economic issues and proposi...
-
作者：Wang, Shuting; Greenwood, Brad N.
作者单位：City University of New York (CUNY) System; Baruch College (CUNY); George Mason University
摘要：Social media platforms aggressively compete for the participants who create content on their sites. In this study, we delve into one tactic of this competition that has become increasingly popular but received limited scholarly attention-the extension of length limits (i.e., the maximum number of characters in a post)-and how it affects both the production and consumption of social media posts. We investigate these questions by exploiting a natural experiment, the phased rollout of length limi...
-
作者：Dai, Tinglong; Jerath, Kinshuk
作者单位：Johns Hopkins University; Columbia University
摘要：In this rejoinder, we address the concern about equilibrium existence in our previous work published in 2013. By making the simple adjustment of discretizing inventory ordering amounts to prevent inventory orders in arbitrarily small increments, we show that the results from that paper hold, thus maintaining the robustness of the insights obtained.
-
作者：Yu, Peiwen; He, Haiyang; Lei, Lei
作者单位：Chongqing University
摘要：Many firms offer products that consist of a durable base good (e.g., a vehicle) and a durable add-on (e.g., autopilot software). Some lease the add-on, whereas others sell it through intertemporal price discrimination or bundled pricing. Motivated by these practices, we examine whether a monopolistic firm should lease or sell the add-on when offering both durables. The literature suggests that leasing is preferable for a single durable good as it avoids the time inconsistency problem associate...
-
作者：Gaertner, Fabio B.; Hoopes, Jeffrey L.; Kelley, Stacie O.; Pflitsch, Max
作者单位：University of Wisconsin System; University of Wisconsin Madison; University of North Carolina; University of North Carolina Chapel Hill; University of North Carolina School of Medicine; Dortmund University of Technology
摘要：The Inflation Reduction Act establishes a new 15% corporate minimum tax on the adjusted financial accounting income for large U.S. corporations. Although the minimum tax is estimated to raise $222 billion over 10 years, some fear firms will manipulate their accounting earnings to reduce their tax liabilities, resulting in less revenue raised. Using an event study, we examine the extent to which investors believe this tax will reduce firm value. We examine stock market reactions around key legi...
-
作者：Devalve, Levi; Myles, Jabari
作者单位：University of Chicago; North Carolina State University
摘要：We provide the first approximation algorithm for dynamic inventory management on a network with stochastic demand and backlogging. Specifically, under a mild cost condition, we prove the cost of a specially designed base-stock policy is less than 1.618 times the cost of an optimal policy. We develop a novel stochastic programming analysis to prove this result: We carefully calibrate two stochastic programs (providing upper and lower bounds on the optimal policy), and compare their objectives. ...
-
作者：Kao, Jennifer
作者单位：University of California System; University of California Los Angeles
摘要：This paper studies how competitive dynamics shape innovative firms' voluntary disclosure of product quality information. Our empirical context is the pharmaceutical industry, where firms must decide whether to disclose private drug quality information acquired in clinical trials. Using a difference-in-difference strategy, we show that the approval of a competitor's drug lowers the likelihood of a firm reporting its clinical trial results by 13%. We explore how these effects vary based on the p...
-
作者：Kieren, Pascal; Weber, Martin
作者单位：Ruprecht Karls University Heidelberg; University of Mannheim; Centre for Economic Policy Research - UK
摘要：How do individuals process nondiagnostic information? According to Bayes' theorem, signals that do not carry relevant information are treated as if no signal occurred. This paper provides evidence that individuals update their expectations even after observing uninformative signals. Importantly, the direction in which they update depends on the valence of the signal. Prior beliefs become more optimistic after desirable uninformative signals and more pessimistic after undesirable uninformative ...
