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The goal of this paper is to show that household-level financial distress (FD) varies greatly, meaning there is unequal exposure to macroeconomic risk, and that FD can increase macroeconomic vulnerability. To do this, we first establish three facts: (i) regions in the U.S. vary significantly in...
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This paper develops a model of crime analyzing how such behavior is associated with individual and neighborhood poverty …. The model shows that even under relatively minimal assumptions, a connection between individual poverty and both property … with the empirical evidence. -- Poverty ; crime ; neighborhood effects ; segregation ; instrumental variables ; public …
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This chapter provides new evidence on borrowers' hidden information about their riskiness and its link to their impatience. To do so, I analyze consumer loans on the German platform Smava, which has a unique peer-to-peer lending process. Observationally identical but unobservably riskier...
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