We find that the bans on covered short sales, implemented in several countries during the financial crisis of 2008-09 improved market liquidity or at least had a neutral impact; a result we argue could be expected in theory, given a simple variation on the Diamond-Verrechia (1987) model. The...

Close bank relationships are thought to ameliorate firms' liquidity constraints--a phenomenon frequently measured by liquidity sensitivity of investment. Using a panel of German firms during the formative years of universal banking (1903-1913), this paper shows that, even controlling for...

Close bank relationships are thought to ameliorate firms' liquidity constraints--a phenomenon frequently measured by liquidity sensitivity of investment. Using a panel of German firms during the formative years of universal banking 1903-1913), this paper shows that, even controlling for...

We study the impact of the 1918 Spanish Flu on U.S. stock prices. Using a new weekly hand collected sample of 136 firms that traded on the NYSE, we examine the impact of the four waves of the flu on stock returns using panel regressions. The second and fourth wave of the pandemic significantly...