This paper examine how and when mandatory corporate social responsibility (CSR) disclosure impacts stock liquidity by using a quasi-natural experiment in China. The results reveal that mandatory CSR disclosure significantly reduces the firm’s stock liquidity. Furthermore, the negative effect...

Will export affect corporate innovation? Using comprehensive data from 2002 to 2016, we find that Chinese firms file more patents in response to international demand. To establish causality, we explore exogenous shock in exchange rate policy in 2005, which converts from a fixed regime into a...

We use segmented dual-class shares of Chinese firms, A shares traded in mainland China by local investors under binding capital controls and H shares traded in Hong Kong by foreign investors, to study cross sectional stock market reactions to the COVID-19 lockdown policy in China. We find...

Air pollution is a growing hazard to human health. This study examines whether air pollution affects the formation of corporate human capital and thereby firm performance. We find that people exhibit an intention to look for jobs in less polluted areas when air pollution is high in their...

This study investigates the cross-country impact of U.S. equity market skewness risk. We find that a large decrease in the U.S. market skewness significantly predicts high future returns on international equity markets. The predictability remains significant after controlling for a set of U.S....