This paper examines the effect of climate policy uncertainty on the default risk and documents a significant positive impact of China's CPU on the corporate default risk, and the impact sounds systematically aggravating with the increasing term structure of default investigation. Our research...

In response to the unprecedented uncertain rare events of the last decade, we derive an optimal portfolio choice problem in a semi-closed form by integrating price diffusion ambiguity, volatility diffusion ambiguity, and jump ambiguity occurring in the traditional stock market and the...