We construct a new data set tracking the daily value of life insurers’ assets at the security level. Outside of the 2008–2009 crisis, a $1 drop in the market value of assets reduces an insurer’s market equity by $0.10. During the financial crisis, this pass-through rises to $1.
This paper experimentally tests the Fox-Tversky (1995) source preference hypothesis as axiomatized in Chew and Sagi (2008) where people may have preference between equally distributed risks depending on the underlying sources of uncertainty.
Research on resource dependence typically takes a static view in which actions and outcomes are determined structurally, but not as responses to the actions of the counterparty in an exchange relation. By contrast, this study addresses a question of power dynamics by examining whether mergers of organizations trigger responses from their common exchange partners. We predict that common exchange partners respond by withdrawing from the relationship and that their responses vary with the availability of alternatives, the value of the relationship, and the relationship history. Using data on advertising agencies, we show that mergers of agencies do trigger reactions from their common clients, and the reactions differ with agency and client characteristics. Extending existing theory and evidence, our results suggest that firms respond to the dynamics of exchange relationships and not only to their structure.
The US Brain Research through Advancing Innovative Neurotechnologies Grand Challenge and the EU Human Brain Project Future and Emerging Technologies Flagship, though seemingly similar in many dimensions, have distinct features that have been shaped by politics and institutional systems. This article documents the history of the two projects and compares their organization and funding mechanisms.
What are the spillover effects when central financial institutions with dominant market shares simultaneously halt their liquidity creation and risk transformation roles? To shed light on this question, we build a novel, comprehensive dataset. Firms without a history of debt financing exhibit limited exposure to a systemic event. For firms that rely on external debt financing, their exposures are mainly driven by pre-existing connections to these central financial institutions.
Regulating short selling is difficult and controversial. We review the academic literature on short selling regulation and provide insights for future policymakers and academics. We organize the complex history of short selling regulation into three areas: disclosure requirements, securities lending restrictions, and trading restrictions. We identify, analyze and discuss 45 distinct regulations promulgated during the period 1896 through 2021, primarily by reviewing the academic literature associated with each regulation, including a discussion of the data sources employed. In so doing, we provide several insights regarding the effectiveness of regulatory approaches as well as the wider impact on markets.
On January 18-19, 2018, the Frank H. Kenan Institute of Private Enterprise and its affiliated Center for Entrepreneurial Studies will convene a highly curated group of 100 thought leaders to discuss leading-edge research on private business ventures and explore ways to sustain and advance entrepreneurship.
On January 18 and 19, 2018, the Frank H. Kenan Institute of Private Enterprise (Kenan Institute) hosted its Frontiers of Entrepreneurship Research Conference at The Breakers Palm Beach Resort. The conference brought together more than 100 academic research scholars, policy experts and private sector professionals to discuss and debate the most challenging current issues in the field of entrepreneurship in order to set the agenda for future research and policy.
We coin the term credit market fluidity to describe the intensity of credit reallocation, whose properties and implications we study within the commercial loan market in France over the period 1998 through 2018. We base our analysis on credit register data and thus provide a more complete account of gross credit flows across and within bank loan portfolios.
Hasbrouck (2018) takes advantage of the fact that U.S. equity market data are timestamped to nanosecond precision, and explores models of price dynamics at resolutions sufficient to capture the reactions of the fastest agents. The paper therefore addresses the econometric analysis of multivariate time series models at sub-millisecond frequencies and relies on long distributed lag models to alleviate the computational complexity while still taking advantage of the inherent sparsity of price transitions.
After years of decline, increases in American youth tobacco usage have pushed the tobacco control debate back into the forefront of the public health conversation. Youth tobacco use increased from 2011 to 2018, largely driven by e-cigarette usage, which grew from 1.5% to 20.8% of American high school students, representing an increase of 2.83 million adolescents. Despite extensive evidence that e-cigarette chemicals cause morbidity including immediate, harmful changes in endothelial function in healthy nonsmokers, 72% of teenage e-cigarettes users believe e-cigarettes cause some, little, or no harm.
African American older adults face a major retirement crisis (Rhee, 2013; Vinik, 2015)). Owing to a legacy of racial discrimination in education, housing, employment, and wages or salaries, they are less likely than their white counterparts to have accumulated wealth over the course of their lives (Sykes, 2016). In 2013, the median net worth of African American older adult households ($56,700) was roughly one-fifth of the median net worth of white older adult households ($255,000) (Rosnick and Baker, 2014). Not surprising, given these disparities in net worth, African American older adult males (17%) and females (21%) were much more likely than their white male (5%) and female (10%) counterparts to live in poverty (Johnson and Parnell, 2016; U.S. Department of Housing and Urban Development, 2013a). They also were more likely to experience disabilities earlier in life and to have shorter life expectancies (Freedman and Spillman, 2016).
We have little knowledge about the prevalence of irreproducibility in the accounting literature. To narrow this gap, we conducted a survey among the participants of the 2019 JAR Conference on their perceptions of the frequency, causes, and consequences of irreproducible research published in accounting journals.
Background: Influenza imposes heavy societal costs through healthcare expenditures, missed days of work, and numerous hospitalizations each year. Considering these costs, the healthcare and behavioral science literature offers suggestions on increasing demand for flu vaccinations. And yet, the adult flu vaccination rate fluctuated between 37% and 46% between 2010 and 2019.
Aim: Although a demand-side approach represents one viable strategy, an operations management approach would also highlight the need to consider a supply-side approach. In this paper, we investigate how to improve clinic vaccination rates by altering provider behavior.
The long-term upward trend in Hong Kong's housing price and its ever-increasing price-rent ratio has caused extensive concern from investors and researchers. Dynamic Gordon Model ties an asset's worth to the expected value of the future payoff stream accruing to the asset, and it has been widely used in the literature on finance and real estate asset. As far as we know, this model has not been applied to the research on the Hong Kong real estate market. In this paper, we used this model to analyze the quarterly date of Hong Kong housing prices and other economic indicators from 1999 to 2019.
In this paper, we apply the ARMA-GARCH model to Hong Kong real estate market. We analyzed the monthly data of housing, office retail and factories from February 1993 to February 2019. The result of ARCH LM test indicates that volatility clustering is shown in there four kinds of real estate. The price volatility of housing is influenced by foreign exchange rate, especially the USD exchange rate. The commercial real estate market shows different, they are all influenced by unemployment. All these real estate shows limited inflation hedging ability in a short period. The result of the EGARCH model shows there were no asymmetric effects in the real estate market.
This article presents tests for the existence of common factors spanning two large panels/groups of macroeconomic and financial variables, and the estimation of common and group-specific factors. New analytical results are derived regarding (i) the difference in the asymptotic distribution of the test statistics when aggregating the data first and then extracting the principal components (PCs), or vice versa, as well as (ii) the estimation of the common factor and its asymptotic distribution, extending the work of Andreou et al. (2019).
This study finds that the requirement of ASC 842 for firms to capitalize operating leases in financial statements beginning in 2019 resulted in firms affected by the standard reducing existing debt amounts on average between 7% and 10% relative to unaffected firms. We also find that firms with greater operating lease capitalization as a result of implementation of ASC 842 are more likely to reduce their reliance on existing debt.
Using a proprietary dataset from 2016 to 2019, we find that order flows from foreign investors, facilitated by regulatory liberalization through several channels, present strong predictive power for future stock returns in the Chinese market.