We show that common institutional ownership (CIO) along the supply chain can mitigate hold-up problems faced by bilateral relationships resulting from incomplete contracts. Suppliers conduct more relationship-specific innovative activities when CIO networks are wider and deeper. We establish...

This paper identifies culture as an important factor affecting corporate cash holdings by using China and its national culture, Confucianism, as the setting. We find that firms located in regions with stronger Confucian culture hold persistently higher levels of cash. We employ an instrumental...

We analyze the consequences of shuttering four Antitrust Division field offices by the U.S. Department of Justice in 2013 on corporate market power. Contrary to most criticism, we find little evidence that the closure of field offices cripples local antitrust law enforcement. We document that...

In the interest of consumer financial protection, most households do not have access to the hedge fund market. We show that this creates an inequality of investment opportunities. Wealthy households can access this market, and while these retail investors behave very differently from...

We apply state-of-the-art Bayesian machine learning to test whether we can extract valuable information from analysts' recommendations of stock performance. We use a probabilistic model for independent Bayesian classifier combination that has been successfully applied in both the physical and...