This paper exploits a novel hand-collected dataset to provide a comprehensive analysis of the social relationships that underlie illegal insider trading networks. I find that inside information flows through strong social ties based on family, friends, and geographic proximity. On average,...

We develop a dynamic matching and bargaining game with aggregate uncertainty about the relative scarcity of a commodity. We use our model to study price discovery in a decentralized exchange economy: Traders gradually learn about the state of the market through a sequence of multilateral...

We explore the stability properties of interest rate rules granting an explicit response to stock prices in a New-Keynesian DSGE model populated by Blanchard-Yaari non-Ricardian households. The constant turnover between long-time stock holders and asset-poor newcomers generates a financial...