We study the consequences of corporate default using China's national credit registry. Borrowing after default declines if the lender or borrower is not state-controlled or if the borrower is located in a highly developed province. After default, a key social indicator, employment, does not...

This paper examines the intra-industry effects of bond defaults on corporate cash holdings. The staggered difference-in-differences regression results find that corporate cash holdings decrease following the first default within each industry, and the results are driven by firms with more severe...

This paper studies how market-wide credit risk affects the liquidity pricing in the bond market. With the emerging wave of China's bond defaults, the illiquidity premium is observed only after the first bond default, and it becomes significantly larger with the rising market-wide credit risk. In...