type="main" xml:lang="en" <title type="main">ABSTRACT</title> <p>The purpose of this paper is to understand the institutional features of Chapter 11 from an empirical examination of thirty firms that have emerged from reorganization. We find the recontracting framework of Chapter 11 to be complex, lengthy, and costly....</p>

The bankruptcy codes of the United States, the United Kingdom and Germany differ concerning who is permitted to control the debtor in bankruptcy and as to the ability of the debtor to arrange new financing while in bankruptcy. This study compares the efficiency of these three bankruptcy codes...

Relying on a simple general equilibrium model of the term structure, we show that both nominal yields and real consumption growth rates can be affine in the unobservable state variables. We can then express real consumption growth rates in terms of nominal yields rather than the unobservable...

Even if returns are truly forecasted by variables such as the dividend yield, the noise in such a predictive regression may overwhelm the signal of the conditioning variable and render estimation, inference and forecasting unreliable. Unfortunately, traditional asymptotic approximations are not...

We test the hypothesis that the gradual diffusion of information across asset markets leads to cross-asset return predictability. Using thirty-four industry portfolios and the broad market index as our test assets, we establish several key results. First, a number of industries such as retail,...

Statistical inference in predictive regressions depends critically on the stochastic properties of the posited explanatory variable, in particular, its order of integration. However, confidence intervals for the largest autoregressive root of explanatory variables commonly used in predictive...

Relying on a simple general equilibrium model of the term structure, both nominal yields and real consumption growth rates can be shown to be a±ne in the unobservable state variables. We can then express real consumption growth rates in terms of nominal yields rather than the unobservable...