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This paper studies whether stock market liquidity has a causal effect on real earnings management. We introduce a new … and cleaner identification of liquidity shock - the 2016 Tick Size Pilot Program - to show that firms with less liquid … stocks are more likely to engage in real earnings management. We provide direct evidence that stock liquidity helps to deter …
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We develop a mixed-frequency, tree-based, gradient-boosting model designed to assess the default risk of privately held firms in real time. The model uses data from publicly-traded companies to construct a probability of default (PD) function. This function integrates high-frequency,...
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This article develops a statistical model to explain sources of distress in local government. Whereas 'financial distress' in the private sector has been equated with a failure to meet financial commitments, here 'distress' is interpreted as an inability to maintain pre-existing levels of...
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