We develop a dynamic computational network model of the banking system where fire sales provide the amplification mechanism of financial shocks. Each period a finite number of banks offers a large, but finite, number of loans to households. Banks with excess liquidity also offer loans to other...

We test the null hypothesis that two parameters (μ1,μ2) have the same sign, assuming that (asymptotically) normal estimators (ˆμ1, ˆμ2) are available. Examples of this problem include the analysis of heterogeneous treatment effects, causal interpretation of reduced-form estimands,...

We investigate the nature of social preferences when a decision maker's information is limited to group members' ordinal rankings. By studying choices made on behalf of others, we identify social choice rules that embody the normative values decision makers implicitly favor. Few people are...

Ambuehl et al. (2022) explore ways to evaluate interventions designed to enhance decision-making quality when individuals misjudge the outcomes of their choices. The authors propose a novel outcome metric that can distinguish between interventions better than conventional metrics such as...

This study was designed to investigate the impact of COVID-19 lockdown measures and their associated self-reported threats on female labor force participation (FLFP) in Uganda following the March 20th, 2020 shutdown of the economy by the government. The interest in women in this study stems from...

We analyse the effect of leverage components and banks' "business model channels" on risk-taking for Brazilian banks. Using a detailed dataset from the Brazilian financial system, the results show that the measurement of leverage components is relevant for determining banks' risk. We highlight...