We examine China's June 2013 liquidity crunch as a negative shock to banks and analyze the wealth effects on exchange-listed firms. Our findings suggest that liquidity shocks to financial institutions negatively impact borrower performance, particularly borrowers reporting outstanding loans at...

We exploit China's great stock market crash in 2015 to study the effects of government stock purchases. The Chinese government purchased stocks to stabilize the market through state-owned financial institutions collectively called the “National Team”. We find that the intervention led to...

Although it had a a lower income level than India in 1980, China's 2006 per capita gross domestic product stands more than twice that of India's. This paper investigates the role of the business environment in explaining China's productivity advantage using recent firm-level survey data. The...

Collateral is at the heart of the modern financial system and plays an essential role in business and financial cycles. Leveraging a unique loan-level data covering a major city in China, the paper is among the first to provide stylized facts on Chinese bank loan collateral structure. It shows...

Collateral is at the heart of modern financial system and plays an essential role in business and financial cycles. Leveraging detailed loan level data covering a major city in China, the paper is among the first to provide stylized facts on Chinese bank loan collateral structure. It shows that...