Economic theory predicts that a binding interest-rate cap decreases credit availability for high-risk borrowers. On March 23, 2021, Illinois imposed an all-in interest-rate cap of 36 percent per annum for loans under $40,000 from non-bank and non-credit-union lenders. We use credit bureau data...

In the United States, the lowest interest rate cap on small-dollar installment loans 17 percent is in Arkansas. No small-dollar installment lenders operate within Arkansas, while they do in all six states bordering Arkansas providing a natural experiment to examine the effects of a binding...

We introduce a decomposition showing precisely how actively-managed portfolio returns can be separated into three measurable components that we call Opportunity, Foresight, and Active Management Risk. Opportunity reflects the degree to which the investment opportunity set contains exploitable...

This case is based on actual events from one of the author’s experiences as a U.S. Air Force Lieutenant, deployed to Kuwait in support of Operation ENDURING FREEDOM (Afghanistan Theater) and IRAQI FREEDOM (Iraq Theater). This case is about an ontological approach to leadership development....

Hallerbach (2004) derives an approximation formula to compute a Black-Scholes implied volatility. This formula is equivalent to equation (7) in Corrado and Miller (1996a), with the substitution of a geometric average of stock and strike prices in place of an arithmetic average. Ceteris paribus...

In this paper, we report the first empirical tests concerning the performance of international investment strategies recommended by a panel of investment houses from 1982 through 2001. The data for this study comes from surveys published in the Financial Report, a confidential newsletter...

We examine the forecast quality of Chicago Board Options Exchange (CBOE) implied volatility indexes based on the Standard and Poor's 100 and Nasdaq 100 stock indexes. We find that the forecast quality of CBOE implied volatilities for the Samp;P 100 (VIX) has significantly improved in recent...