Politics and the Creation of a European SEC: The Optimal UK Strategy – Constructive Inconsistency
This paper analyses the factors influencing whether a European Securities and Exchange Commission (ESEC) will be created and confirms the primary role...
An Essay on the interactions between the Bank of England's forecasts, the MPC's policy adjustments, and the eventual outcome
There are long, (and often variable), lags between a change in interest rates and its effect on real output and inflation. Hence policy should be...
Reforming public pensions in the US and the UK
This essay describes the current debate on reforming Social Security in the US, along with a brief description of how the program works. Along the way...
Minority blocks and takeover premia
This paper analyses takeovers of companies owned by atomistic shareholders and by one minority blockholder, all of whom can only decide to tender or...
Optimal intergenerational risk sharing
This paper studies optimal intergenerational transfer policy under stochastic labor income and capital returns. It has implications for Social...
Long-term debt and hidden borrowing
We consider borrowers with the opportunity to raise funds from a competitive banking sector that shares information, and from an alternative hidden...
Simulated nonparametric estimation of dynamic models with applications to finance
This paper introduces a new class of parameter estimators for dynamic models, called Simulated Nonparametric Estimators (SNE). The SNE minimizes...
Dynamic portfolio and mortgage choice for homeowners
We investigate the impact of owner-occupied housing on financial portfolio and mortgage choice under stochastic inflation and real interest rates. To...
Estimating structural bond pricing models via simulated maximum likelihood
This paper describes how structural bond pricing models can be estimated using a Simulated Maximum Likelihood procedure developed by Durbin and...
IMF concern for reputation and conditional lending failure: theory and empirics
One possible explanation for the unsatisfactory implementation of IMF conditionality has been attributed to the lack of credibility of the IMF threat...
Reputation effects in trading on the New York Stock Exchange
Theory suggests that reputations, developed in repeated face-to-face interactions, allow non- anonymous, floor-based trading venues to attenuate...
Financial tunnelling and the revenge of the insider system: how to circumvent the new European corporate governance legislation
In this paper, we document how European companies can use financial tunnelling to the disadvantage of minority shareholders, despite improved...
ART versus reinsurance: the disciplining effect of information insensitivity
We provide a novel benefit of "Alternative Risk Transfer" (ART) products with parametric or index triggers. When a reinsurer has private information...
Spot market power and future market trading
When a spot market monopolist participates in the futures market, he has an incentive to adjust spot prices to make his futures market position more...
Asset pricing with limited risk sharing and heterogeneous agents
We solve a model with incomplete markets and heterogeneous agents that generates a large equity premium, while simultaneously matching stock market...
