The past three decades have been characterized by vast change and crises in global financial markets—and not in politically unstable countries but in the heart of the developed world, from the Great Recession in the United States to the banking crises in Japan and the Eurozone. As we try to...

Introduction / Edward L. Glaeser, Tano Santos, and E. Glen Weyl -- Stochastic compounding and uncertain valuation / Lars Peter Hansen and José A. Scheinkman -- The good banker / Patrick Bolton -- How to implement contingent capital / Albert S. Kyle -- Bankruptcy laws and collateral regulation:...

1. Insights for today's trying economic times / Robert M. Whaples and G. Page West III -- 2. Insights from Walter Bagehot / Perry Mehrling -- 3. Insights from Thorstein Veblen / Robert Prasch -- 4. Insights from John Maynard Keynes / Bradley Bateman -- 5. Insights from the Great Depression /...

This paper investigates the impact of news media sentiment on financial market returns and volatility in the long-term. We hypothesize that the way the media formulate and present news to the public produces different perceptions and, thus, incurs different investor behavior. To analyze such...