theory, practice, and policy. Using seven different methods on microenterprise loan applicants, we find striking results …

Exchange risk hedging in a static (i.e. one-period) setting is extremely straightforward. The variance-minimizing hedge … thereafter, perhaps, leaving the hedge untouched until the cash flow is received or paid. The precise mathematical theory in …

and implement tests of hedging that use the information contained in the actual portfolio of the investor. We use a unique …. We show that investors do not engage in hedging, but invest in stocks closely related to their non-financial income. We …

the supply of commercial and industrial (C&I) loans is constrained. Hedging and bank capital regulation provide reasons …

Despite much work on hedging in incomplete markets, the literature still lacks tractable dynamic hedges in plausible … deviate unless she can pre-commit to follow them. We apply our results to the discrete hedging problem of derivatives when … specialized to the Black-Scholes setting. We also generalize our results to richer settings to study dynamic hedging with Poisson …

in a standard framework in which uninformed traders with hedging needs interact with risk-averse informed traders in … hedging and speculative demands: risk-averse arbitrageurs can hedge in the new market to lower the risk of speculative … traders with pure hedging motives in that market to withdraw, so reducing liquidity in the old market. The general point …