We investigate manipulability in the setting of financial systems by considering two weak forms of immunity: non-manipulability via merging and nonmanipulability via splitting. Not surprisingly, non-manipulability via splitting is incompatible with some basic axioms: claim boundedness, limited...

When a financial network collapses, how should mutual obligations among all agents be cleared? We study this problem taking an axiomatic approach and provide the first characterization of the family of rules based on the principle of proportionality in the entire domain of financial systems. A...

The design of tests for discrimination in the credit market is controversial. This paper revisits the issue and pays special attention to double discrimination, which consists in targeting loan applicants who belong simultaneously to two vulnerable groups. Double discrimination may take...

Over the past decades, financial markets have been integrated across countries while income inequality has increased in most countries. This paper studies the effect of financial market integration on income inequality and investigates whether this effect varies with the degree of financial...

This article describes how Louis Kelso's binary economics can be used to open the prevailing system of corporate finance to enable all people to access non-recourse corporate credit so as to enable them to acquire capital with the earnings of capital. In economies operating at less than full...