Exploiting a shock drawing public attention to banks’ financial relationships with the firearms industry – Antigun activism following the 2018 Parkland shooting – this paper demonstrates that political values shape depositor behavior. I find that, following the 2018 Parkland shooting,...

I study how asset prices vary with the risk exposures of heterogeneous financial intermediaries in the municipal bond market. Banks with local bank-branches, as marginal investors, price their interest rate risk exposure into offering yield spreads of bank-qualified bonds. The pricing of...

We investigate how social connection affects municipal finance. Municipal Bond Mutual Funds allocate more capital to counties with stronger social connection, which in turn lowers the municipalities’ financing costs in the municipal bond market. Consistent with the familiarity-driven demand...

Legislation guiding environmental policy in the US is set largely at the federal level, whereas, the primary monitoring and enforcement responsibility is decentralized to state & local authorities. Consistent with the idea that households' marginal willingness to pay for environmental quality...