Online peer to peer lending (P2P) - allows people who want to borrow money to submit their applications on the platform and individual investors can make bids on the loan listings. The quality of information in credit appraisal becomes paramount in this market. The existing research to assess...

This paper considers the problem of estimating a simultaneous spatial autoregressive model (SSAR). We propose using the quasi maximum likelihood method to estimate the model. The asymptotic properties of the maximum likelihood estimator including consistency and limiting distribution are...

Online peer to peer lending (P2P) - allows people who want to borrow money to submit their applications on the platform and individual investors can make bids on the loan listings. The quality of information in credit appraisal becomes paramount in this market. The existing research to assess...

With thousands of co-existing and competing platforms, the Chinese peer-to-peer (P2P) lending market experienced both high growth and high failure rate. We hand collect unique data for these P2P platforms and investigate the differences in performance and survival for platforms with and without...

Recent studies have proposed a large set of powerful characteristics-based factors in the stock market. This study examines the pricing of these factors using portfolios that are formed by directly sorting stocks based on their exposure to these factors. These beta-sorted portfolios have very...

This research studies the childhood exposure effect on stock market participation. We find that individuals with rural childhoods are less likely to invest in the stock market, controlling for wealth, trust, social interaction, risk attitude, and financial literacy. Furthermore, we find evidence...

Most people rely on fast thinking to make decisions. Fast thinking focuses on the most prominent information available, potentially ignoring critical factors in favor of less relevant, but salient details (Kahneman 2011). The primary obstacle to studying fast thinking is identifying and...

We study the existence of financing discrimination between state-owned and non-state owned enterprises from the perspective of investment-cash flow sensitivity, and the effects of privatization reform on muffling the institutionally-rooted discrimination. Hit by negative cash flow shocks, firms...

Using portfolios that are formed by directly sorting stocks based on their exposure to characteristics-based factors, earlier studies find that these beta-sorted portfolios have very large ex post factor beta spreads. However, the return spreads between high- and low-beta firms are typically...

The existence of peer effect on financial decision is well documented in the literature. However, little is known about the peer effect on default choice of consumer credit. We fill this gap by using a novel data and research design constructed from a cash loan platform in China. We find the...