rest of the world. International cooperation benefits other countries by improving global demand for dollar-invoiced goods …

When agents are liquidity constrained, two options exist - sell assets or borrow. We compare the allocations arising in …

—the liquidity premium. We rationalize this finding in an estimated heterogeneous-agent New-Keynesian (HANK) model with incomplete … markets and portfolio choice, in which public debt affects private liquidity. In this environment, the short-run fiscal … multiplier is amplified by the countercyclical liquidity premium. This liquidity channel stabilizes investment and crowds in …

speculative strategies, while the latter trade for liquidity needs. The implication is we trade in the direction of the funds … yields positive risk-adjusted performance. Incorporating the liquidity trades signal improves risk-adjusted performance and …

This paper develops a novel theory of capital mis-allocation within firms that stems from managers’ empire building and … divisions, thereby lowering the conglomerate discount. The theory can explain why exporters exhibit a lower conglomerate …