Recently, a large number of empirical studies indicated that individual equity options exhibit a strong factor structure. In this paper, the importance of systematic and idiosyncratic volatility and jump risks on individual equity option pricing is analyzed. First, we propose a new factor...

What explains huge wage gaps between different hukou and gender groups in China? This paper uses an overlapping generation model with human capital investment and occupational choices to quantify how much wage gaps between these groups can be imputed to two types of talent allocation frictions,...