strategy exploits the heterogeneous impact of the shock on importers. The results indicate that this relatively minor, non …-localized shock had a non-trivial economic impact on exposed firms and propagated downstream through affected suppliers. Additional … empirical tests, motivated by a simple theory, demonstrate that low-liquidity firms amplified its transmission. …

exported primary commodities, imported capital goods and intermediate inputs, and a financial shock, modeled as fluctuations in …

This paper presents a dynamic theory of housing market fluctuations. It develops a life-cycle model where households …

of a permanent income shock. Compared to existing empirical estimates for the same dataset, our findings suggest that …

credit enforcement is prohibitively costly. The theory helps to explain how the three observed phenomena of output decline …