-
作者：Kan, Raymond; Wang, Xiaolu
作者单位：University of Toronto; Iowa State University
摘要：When a benchmark model is inefficient, including test assets in addition to the benchmark portfolios can improve the performance of the optimal portfolio. In reality, the efficiency of a benchmark model relative to the test assets is ex ante unknown; moreover, the optimal portfolio is constructed based on estimated parameters. Therefore, whether and how to include the test assets becomes a critical question faced by real world investors. For such a setting, we propose a combining portfolio str...
-
作者：Kleinberg, Jon; Mullainathan, Sendhil; Raghavan, Manish
作者单位：Cornell University; Cornell University; University of Chicago; Massachusetts Institute of Technology (MIT); Massachusetts Institute of Technology (MIT)
摘要：Online platforms have a wealth of data, run countless experiments, and use industrial-scale algorithms to optimize user experience. Despite this, many users seem to regret the time they spend on these platforms. One possible explanation is that incentives are misaligned: platforms are not optimizing for user happiness. We suggest the problem runs deeper, transcending the specific incentives of any particular platform, and instead stems from a mistaken foundational assumption. To understand wha...
-
作者：Virudachalam, Vanitha; Savin, Sergei; Steinberg, Matthew P.
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; University of Pennsylvania
摘要：U.S. K-12 school districts that traditionally utilized ongoing formative assessments of student progress increasingly rely on additional interim assessments to predict student performance on standardized tests. Moreover, some districts are experimenting with merit-based teacher bonuses tied to standardized test scores. We examine the relationship between interim assessments and teacher bonuses using a two-period principal-agent model. The school district (principal), operating under a limited ...
-
作者：Yang, Luyi; Jin, Chen; Shao, Zhen
作者单位：University of California System; University of California Berkeley; National University of Singapore; Chinese Academy of Sciences; University of Science & Technology of China, CAS
摘要：This paper studies a novel social commerce practice known as help-and haggle, whereby an online consumer can ask friends to help her haggle over the price of a product. Each time a friend agrees to help, the price is cut by a random amount, and if the consumer cuts the product price down to zero within a time limit, she will get the product for free; otherwise, the product reverts to the original price. Help-and-haggle enables the firm to promote its product and boost its social reach as consu...
-
作者：Marquez, Robert; Singh, Rajdeep
作者单位：University of California System; University of California Davis; University of Minnesota System; University of Minnesota Twin Cities
摘要：When do sellers benefit from the presence of a strong buyer? In a second price auction with independent private values and entry costs for buyers, we allow for one buyer to be stochastically strong. We show that, when buyers make positive net profits, seller revenue is higher with a stronger buyer. In contrast, when competition is endogenous so that all buyers other than the strong buyer break even, seller revenue is always lower in the presence of a strong buyer. We also study seller actions ...
-
作者：Yang, Bicheng; Chan, Tat; Owan, Hideo; Tsuru, Tsuyoshi
作者单位：Hong Kong Polytechnic University; Washington University (WUSTL); Waseda University; Hitotsubashi University
摘要：This paper empirically studies the extent to which career concerns as part of a typical contract offer influence employees' work performance in a Japanese auto dealership firm. Because career movements and base-wage adjustments rely on performance evaluation over time, we develop a dynamic structural model that allows concerns for future payoffs to impact an employee's current work effort. A reform in personnel-management policies of the firm during the data period enables us not only to compa...
-
作者：Huang, Jing-Zhi; Qin, Nan; Wang, Ying
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; Northern Illinois University; State University of New York (SUNY) System; University at Albany, SUNY; State University of New York (SUNY) System; University at Albany, SUNY
摘要：Using breadth of corporate bond fund ownership to proxy for the combination of short-sale constraints and divergence of opinions in the corporate bond market, this paper investigates whether and to what extent Miller's overpricing theory holds for corporate bonds. Consistent with the theory, we document a significant and positive relation between changes in breadth and the cross-section of future corporate bond returns. Because of the bounded upside of debt, the ability of changes in breadth t...
-
作者：Iyengar, Garud; Saleh, Fahad; Sethuraman, Jay; Wang, Wenjun
作者单位：Columbia University; Wake Forest University
摘要：We examine a supply chain with a single risk-averse manufacturer who purchases from suppliers and sells to consumers. Within this context, we focus on two channels that drive blockchain adoption by the manufacturer: manufacturer risk aversion and consumer information asymmetry. Regarding the first channel, blockchain enables efficient tracing of defective products so that the manufacturer can selectively recall defective products rather than conducting a full recall. This tracing ability reduc...
-
作者：Atmaz, Adem; Gulen, Huseyin; Cassella, Stefano; Ruan, Fangcheng
作者单位：Purdue University System; Purdue University; Tilburg University
摘要：We document considerable cross-investor variation in survey expectations about aggregate stock market returns. Although most investors are extrapolators who expect higher returns after a good market performance, some are contrarians who expect lower returns after a good performance. More notably, compared with extrapolators, contrarians have less persistent expectations that are corrected more quickly. We then develop a dynamic equilibrium model accounting for these differences in expectations...
-
作者：Core, Fabrizio; De Marco, Filippo
作者单位：Erasmus University Rotterdam - Excl Erasmus MC; Erasmus University Rotterdam; Bocconi University; Centre for Economic Policy Research - UK
摘要：This paper investigates whether banks' information technology (IT) can substitute for local branch presence in the provision of small business credit. Our identification strategy relies on loan-level data and the unique institutional features of the Italian public guarantee scheme during COVID-19. Despite the availability of online applications and low screening incentives, small business lending remains local even for first-time borrowers. However, IT partly mitigates the impact of local bran...
