challenges, especially for banks, which tend to produce multiple outputs and operate with considerable inefficiency. We estimate … Lerner indices for U.S. banks for 2001-18 using nonparametric estimators of the underlying cost and profit functions …, controlling for inefficiency, and incorporating banks' off-balance-sheet activities. We find that mis-specification of cost or …

of financial relations between U.S. banks and Chilean firms after socialist Salvador Allende took office in 1970 …. Business reports and stock prices suggest that firms were mostly unaffected by having fewer links with U.S. banks. Substitution … of financial relations towards domestic banks appears to be the key mechanism explaining these findings. …

We analyse questions of arbitrage in financial markets in which asset prices change in time as stationary stochastic … framework of this model, we find conditions that are necessary and sufficient for the absence of arbitrage opportunities. We …

In this paper we construct arbitrage-free market models of stochastic volatility type for one stock, one bank account … of dynamic arbitrage in the market can be characterized in terms of drift restrictions on the model coefficients. Most … provide a class of explicit examples satisfying the no-arbitrage conditions. This allows us to construct arbitrage-free multi …

equity return comovements. We test the multifactor beta pricing theory against the Capital Asset Pricing model using a …