Annual Conference

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Real Estate and Urban Economics, Senior Fellows/Fellows

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May 2018

We develop a dynamic general equilibrium model that describes the evolution of land prices and rental rates in a monocentric city. The model explores the implications of urban configurations that may differ in terms of the flexibility of the citys borders and land use, i.e., zoning and the presence ...
Keywords: Land prices, land supply, rental rates
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Senior Fellows/Fellows

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Senior Fellows/Fellows

The peer review process typically has multiple evaluators. Too often editors rely on the Union Heuristic, which requires authors to perform all requested tests and extensions suggested by referees and editors, with results confirming the paper’s message. The Union Heuristic is easy, but has dysfu...
Keywords: Editing, Editorial process, Peer review, Research, Academic publishing, Innovation, Turnaround time, Refereeing, Union Heuristic, Intersection Heuristic, Up-or-out
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Annual Conference

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Investment Finance, Senior Fellows/Fellows, Capital Market Development: China and Asia

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May 2022

Using comprehensive account-level data from 2016 to 2019, we examine retail investor trading behavior in the Chinese stock market. We separate millions of retail investors into five groups by their account sizes and document strong heterogeneity in their trading dynamics and performance. Retail inve...
Keywords: Retail investors, Chinese stock market, Return predictability, Information content
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Annual Conference

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Corporate Finance, Senior Fellows/Fellows

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May 2013

This paper offers a unified framework to understand informal financing. We explore various sources of informal financing based on their mechanisms to deal with asymmetric information and enforcement and examine their role in supporting firm growth. We find that constructive informal financing such a...
Keywords: Informal financing, asymmetric information, social collateral, firm growth
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Annual Conference

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International Macroeconomics, Money & Banking, Senior Fellows/Fellows

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May 2016

This paper proposes using foreign exchange (FX) options with dierent strike prices and maturities (\the term structure of volatility smiles") to capture both FX expectations and risks. Using daily options data for six major currency pairs, we show that the cross section and term structure of options...
Keywords: exchange rates, excess returns, options pricing, volatility smile, risk, term structure of implied volatility, quantile regression
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