We study hedging cash flow risks in a supply chain where firms invest internal funds to improve production efficiencies. We offer a decomposition framework to capture the cost reduction and flexibility effect of hedging. It allows us to understand how a firm's hedging choice depends on its...

Capital constraints are prevalent in supply chains. Since traditional bank financing is often inaccessible, especially for small and medium enterprises, two new alternatives, purchase order financing (POF) and buyer direct financing (BDF), are receiving increasing attention for financing...

Corporate income tax (CIT), as an important economic instrument in most jurisdictions, constitutes a significant portion of financial costs in business operations. It is known that the structure of tax function, accounting method and loss carryover policy have significant impacts on a firm's...

We examine the launch of a mobile outpatient appointment app in China to study the effect of information provision and a streamlined appointment process on hospital operations and the alignment of healthcare supply and demand. Using a longitudinal dataset on hospital operations and a...

This paper develops an econometric model of firm entry, competition, and exit in oligopolistic markets. The model has an essentially unique symmetric Markov-perfect equilibrium, which can be computed very quickly. We show that its primitives are identified from market-level data on the number of...

This paper develops a tractable model for the computational and empirical analysis of infinite-horizon oligopoly dynamics. It features aggregate demand uncertainty, sunk entry costs, stochastic idiosyncratic technological progress, and irreversible exit. We develop an algorithm for computing a...