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作者：Coimbra, Nuno; Gomes, Francisco; Michaelides, Alexander; Shen, Jialu
作者单位：European Central Bank; Bank of France; Centre for Economic Policy Research - UK; University of London; London Business School; Imperial College London; Fudan University
摘要：We show that incorporating defined benefit pension funds in an incomplete markets asset pricing model improves its ability to match the historical equity premium and riskless rate and has important risk-sharing implications. We document the importance of the pension fund's size and asset demands, and a new risk channel arising from fluctuations in the fund's returns. We use our calibrated model to study the implications of a shift to an economy with defined contribution plans. The new steady s...
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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：Griffin, Thomas P.; Nini, Greg; Smith, David C.
作者单位：Villanova University; Drexel University; University of Virginia
摘要：The annual proportion of U.S. public firms that reported a financial covenant violation fell roughly 70% between 1997 and 2019. To understand this trend, we develop an estimable model of covenant design that depends on the ability to differentiate between distressed and nondistressed borrowers and the relative costs associated with screening incorrectly. We find that the drop in violations is best explained by an increased willingness to forgo early detection of distressed borrowers in exchang...
