This dissertation explores the implications of private information on the trade-off between incentives to work and risk-sharing, and on the choice of capital structure and performance of entrepreneurial firms. In Chapter 1 we characterize optimal dynamic contracts in environments with limited...

How important are financial friction shocks in business cycles fluctuations? To answer this question, I use micro data to quantify key features of US financial markets. I then construct a dynamic equilibrium model that is consistent with these features and fit the model to business cycle data...

How important are financial friction shocks in business cycles fluctuations? To answer this question, I use micro data to quantify key features of US financial markets. I then construct a dynamic equilibrium model that is consistent with these features and fit the model to business cycle data...