We relate household savings to pension reform, to explain the high household savings rates in urban China from a new perspective. We use the exogenous – policy-induced – variation in pension wealth to estimate explicitly the impact of pension wealth on household savings, and obtain evidence...

The martingale problems provide a powerful tool for characterizing Markov processes, especially in addressing convergence issues. For each n, let metric space E-valued process Xn be a solution of the martingale problems (i.e.is a martingale), the convergence of in some sense usually implies the...

In this paper, we study stochastic volatility models in regimes where the maturity is small, but large compared to the mean-reversion time of the stochastic volatility factor. The problem falls in the class of averaging/homogenization problems for nonlinear HJB-type equations where the "fast...

The market of domestic services in China has grown rapidly since the country embarked on market transition in the late 1970s. Domestic workers for eldercare are in especially high demand as a result of the aging population and the changing family structure. This paper examines the relative pay...

Asia’s trading and financial hubs have become global cities which frequently have more in common and closer linkages with each other than with their corresponding hinterlands. As this book expounds, these global cities illustrate to what extent world trends deeply penetrate and permeate...