Corporate governance and regulation: Can there be too much of a good thing?
For a large number of companies from different countries, we analyze how company corporate governance practices and country regulatory regimes...
For a large number of companies from different countries, we analyze how company corporate governance practices and country regulatory regimes...
We provide a test of the Monday effect in daily stock index returns. Unlike previous studies we define the Monday effect based on the stochastic...
A reduction in inflation can fuel run-ups in housing prices if people suffer from money illusion. For example, investors who decide whether to rent or...
In many countries, pension funds based on individual accounts have been affected by high operating costs. Contract theory helps to unravel the nature...
This paper analyzes the welfare effects of economic transparency in the conduct of monetary policy. We propose a model of monopolistic competition...
Within an asymmetric information set-up in which individuals differ in terms of their risk aversion and can choose whether or not to take preventative...
What determines the direction of spread of currency crises? We examine data on waves of currency crises in 1992, 1994, 1997, and 1998 to evaluate...
We propose a speculative attack model in which agents receive multiple public signals. It is characterised by its focus on an informational structure...
This paper examines the choice of tools for managing a firm’s operational risks: cash reserves, insurance contracts, and financial assets under an...
In this paper we compare overall as well as downside risk mea- sures with respect to the criteria of first and second order stochastic dominance...
Compensation schemes often reward success but do not penalize failure. Fixed salaries with stock options or bonuses have this feature. Yet the...
We provide an equilibrium multi-asset pricing model with micro-founded systemic risk and heterogeneous investors. Systemic risk arises due to...
The regulatory story of hedge funds is a remarkable one, especially for an investment class born to remain outside any regulatory oversight.
The theory of equalizing differences suggests that employer provided pension benefits should be compensated by reduced wage benefits for an employee’s...
We argue on theoretical grounds that obligatory compliance with stricter financial reporting rules (e.g., the US Sarbanes-Oxley Act) may entail...
The estimation of the profit and loss distribution of a loan portfolio requires the modelling of the portfolio’s multivariate distribution. This...