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作者：Di Maggio, Marco; Kalda, Ankit; Yao, Vincent
作者单位：Imperial College London; Indiana University System; IU Kelley School of Business; Indiana University Bloomington; University System of Georgia; Georgia State University
摘要：We exploit an episode of plausibly random debt discharge due to the loss of paperwork for thousands of defaulted borrowers to examine the effects of private student debt relief on borrower outcomes. We find that borrowers who receive debt relief (treated) experience declines in debt balances and delinquency rates on other accounts, and increases in mobility and income relative to those who bear the costs of default like wage garnishment and collections (control). Borrowers in both groups contr...
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作者：Gala, Vito D.; Gomes, Joao F.; Liu, Tong
作者单位：University of Chicago; University of Pennsylvania; Massachusetts Institute of Technology (MIT)
摘要：We propose a new method to estimate the marginal value of capital under minimal assumptions. By combining asset prices with fundamentals, our method provides a quasi-model-free marginal q together with a simple correction for measurement error in (average) Tobin's Q using linear regressions. Marginal q yields plausible and robust estimates of adjustment costs and investment sensitivities to fundamentals. The widening gap between marginal q and Tobin's Q is driven primarily by market power and ...
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作者：Diamond, William; Van Tassel, Peter
作者单位：University of Wisconsin System; University of Wisconsin Madison
摘要：We infer risk-free rates from index option prices to estimate safe asset convenience yields in 10 G11 currencies. Countries' convenience yields increase with the level of their interest rates, with U.S. convenience yields fifth largest. During financial crises, convenience yields grow, but the difference between United States and foreign convenience yields generally does not. Covered interest parity (CIP) deviations using our option-implied rates are a similar size between the United States an...
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作者：Yin, Xiao
作者单位：University of London; University College London; University of London; University College London
摘要：Combining a randomized controlled trial with administrative and survey data, this paper shows that credit limit extensions significantly increase total spending and income expectations. By controlling for changes in personal income expectations, the spending response to credit limit extensions weakens by approximately 30%. For financially unconstrained consumers, expectation changes account for around two-thirds of the spending responses to limit extensions. These findings are consistent with ...
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作者：Kargar, Mahyar; Lester, Benjamin; Plante, Sebastien; Weill, Pierre-Olivier
作者单位：University of Illinois System; University of Illinois Urbana-Champaign; Federal Reserve System - USA; Federal Reserve Bank - Philadelphia; University of Wisconsin System; University of Wisconsin Madison; University of California System; University of California Los Angeles; National Bureau of Economic Research; Center for Economic & Policy Research (CEPR)
摘要：Customers in over-the-counter (OTC) markets must find a counterparty to trade. Little is known about this process, however, because existing data consist of transaction records, which only reveal the outcome of a search. Using data from a trading platform for corporate bonds, we unpack the search process. We analyze how long it takes customers to trade and how dealers' offers evolve across repeated inquiries. We estimate that it takes two to three days to complete a transaction after an unsucc...
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作者：Pazarbasi, Altan
作者单位：Ihsan Dogramaci Bilkent University
摘要：This paper provides novel empirical evidence that cash-rich firms have higher equity payouts and higher stock prices in response to expansionary monetary policy surprises. Stock prices rise despite weak cash-flow, investment, and credit responses to monetary policy. I rationalize the empirical evidence in a heterogeneous-firm New Keynesian model where firms finance investment with cash and equity issuance. Monetary easing weakens precautionary cash demand, leading cash-rich firms to optimally ...
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作者：Bian, Jiangze; Da, Zhi; He, Zhiguo; Lou, Dong; Shue, Kelly; Zhou, Hao
作者单位：University of International Business & Economics; University of Notre Dame; Stanford University; National Bureau of Economic Research; Hong Kong University of Science & Technology; Centre for Economic Policy Research - UK; Yale University; Tsinghua University
摘要：Using granular data covering both regulated (brokerage-financed) and unregulated (shadow-financed) margin accounts in China, we provide novel evidence on retail investors' margin trading behavior and its price implications. We first show that retail investors' decisions to lever up in stock trading despite the hefty borrowing cost is related to their lottery preferences. We then show that margin borrowing affects investors' trading behavior-investors are more likely to liquidate their holdings...
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作者：Abramson, Boaz
作者单位：Columbia University
摘要：I propose a dynamic equilibrium model of rental markets that endogenously gives rise to defaults on rents and evictions. In the model, eviction protections make it harder to evict delinquent renters, but higher default costs to landlords increase equilibrium rents. I quantify the model using micro data on evictions, rents, and homelessness. I find that stronger eviction protections exacerbate housing insecurity and lower welfare. The key empirical driver of this result is the persistent nature...
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作者：Engelberg, Joseph; Guzman, Jorge; Lu, Runjing; Mullins, William
作者单位：University of California System; University of California San Diego; Columbia University; National Bureau of Economic Research; University of Toronto
摘要：Republicans start more firms than Democrats. In a sample of 40 million party-identified Americans between 2005 and 2017, we find that 5.5% of Republicans and 3.7% of Democrats become entrepreneurs. This partisan entrepreneurship gap is time-varying-Republicans increase their relative entrepreneurship during Republican administrations and decrease it during Democratic administrations, amounting to a partisan reallocation of 170,000 new firms over our 13-year sample. We find sharp changes in par...
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作者：Pedersen, Lasse Heje
作者单位：Copenhagen Business School; Centre for Economic Policy Research - UK
摘要：Green finance-including environmental, social, and governance investing and sustainable finance regulations-is widespread, but can it substitute for carbon pricing in fighting climate change? In a unified model, I show that (i) when carbon prices reflect the social cost of carbon, green finance should not be used; (ii) when carbon prices are too low, green finance can implement the social optimum if each firm's cost of capital can be set to its sustainable discount rate, which increases with t...
