We show that information frictions can explain financial contagion without correlated fundamentals and explain why emerging markets are more susceptible to contagion. Costly information may cause investors to group country signals, because such imprecise signals are cheaper. These joint signals...

This paper analyzes the relationship between debt and the production decision of companies active in the exploration and production of oil and gas in the United States. Over the last couple of years, the development and application of innovative extraction methods, like hydraulic fracturing and...