This paper examines the surprising performance of the Argentine stock market in the midst of the country’s most recent financial crisis and the role played by ADRs in Argentine capital flight. Although Argentine investors were subject to capital controls, they were able to purchase stocks with...

Access to private capital markets is the most salient difference between emerging market economies and other developing countries. However, in contrast to developed economies, emerging markets have had a troubled relationship with capital fows. In particular, balance of payments and debt crises...

This paper reviews Chilean stabilization policy during the 1990s andargues that, while the merits of Chilean policy should be praised, there are fourpuzzles in conventional interpretations of the Chilean experience worth studying.First, the policy of targeting indexed interest rates does not...

Emerging market financial crises are abrupt and dramatic, usually occurring after a period of high output growth, massive capital flows, and a boom in asset markets. This thesis develops an equilibrium asset pricing model with informationalfrictions in which vulnerability and the crisis itself...

This thesis includes four empirical studies related to foreign direct investment (FDI), governance, economic growth and the environment. We firstly investigate the existence of the so called pollution haven hypothesis (PHH) in China, i.e. the impact of regional environmental regulations (ER) on...

We document that hedge funds nurture mispricing in the Chinese financial market. We exploit the relationship between hedge fund holdings and the degree of mispricing in case that hedge fund holdings of stocks are mainly for arbitrage purpose but not for hedging, and that with and without...

Unlike the prediction of a frictionless open economy model, long-term average savings and investment rates are highly correlated across countries—a puzzle first identified by Feldstein and Horioka (1980). We quantitatively investigate the impact of two types of financial frictions on this...

This paper studies the famous Feldstein and Horioka finding, which is a high correla-tion between long period averages of savings rates and investment rates across countries. We first confirm the Feldstein-Horioka finding with a more recent data set, and then show that a calibrated complete...

Drawing on a new dataset of diversification of export products, the paper makes the first attempt in the empirical literature to test the impact of product diversification on the choice of exchange-rate regimes in a sample of 72 developing countries (1974-2010). The paper finds that...

The underlying components of protection motivation theory (PMT; Rogers 1983) areexplored through choice experiment-based analysis within a random utility framework, toaccount for some of the motivational, cognitive, and affective processes that likely affectceliacs’ propensity to use a novel...