Showing 1 - 10 of 167
This paper investigates whether risk sharing, measured as income and consumption smoothing, among countries in the EU and the European Economic and Monetary Union (EMU) has increased since the adoption of the euro. We ask: Have the recent increase in foreign equity and debt holdings been...
Persistent link: https://www.econbiz.de/10012715574
We estimate the effects of deregulation of U.S. banking restrictions on the amount of interstate personal income insurance during the period 1970-2001. Interstate income insurance occurs when personal income reacts less than one-to-one to state-specific shocks to output. We find that income...
Persistent link: https://www.econbiz.de/10012717804
This paper examines the properties of alternative GMM procedures for estimation of the log-normal stochastic autoregessive volatility model through a large scale Monte Carlo study. We demonstrate that there is a fundamental trade-off between the number of moments, or information, included in the...
Persistent link: https://www.econbiz.de/10012791946
Venture capital financing is characterized by extensive use ofconvertible securities and stage financing. In a model where a venture capitalist provides staged financing for a project, we illustrate an advantage of convertible debt (or warrants) over a mixture of debt and equity. Essentially,...
Persistent link: https://www.econbiz.de/10012728064
Using a unique newly constructed data set on Israeli IPO firms in the 1990s, we study costs and benefits of universal banking. The post-issue accounting profitability of firms underwritten by bank affiliated underwriters that were also borrowers from the same bank in the IPO year, is...
Persistent link: https://www.econbiz.de/10012775096
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capital flows.
Persistent link: https://www.econbiz.de/10011081997
The magnitude and the direction of net international capital flows does not fit neo-classical models. The 50 U.S. states comprise an integrated capital market with very low barriers to capital flows, which makes them an ideal testing ground for neoclassical models. We develop a simple...
Persistent link: https://www.econbiz.de/10005089091
We remove the aggregate US-wide component in US state level disposable income and consumption and find that state-specific consumption exhibits substantially less excess sensitivity to lagged state-specific disposable income than if the aggregate component is not controlled for. This is evidence...
Persistent link: https://www.econbiz.de/10005102436