This is a Powerpoint presentation. The full article is also available on ssrn at http://ssrn.com/abstract=1924831U.S. policymakers often treat market competition as a panacea. However, in the case of mortgage securitization, policymakers' faith in competition is misplaced. Competitive mortgage...

Investors who possess information about the value of an IPO can participate in the offering as well as trade strategically in the aftermarket. Both the bookbuilding and the fixed price IPO selling methods require more underpricing when aftermarket trading by informed investors is considered....

This paper studies an intermediated market operated by middlemen with high inventory holdings. I present a directed search model in which middlemen are less likely to experience a stockout because they have the advantage of inventory capacity, relative to other sellers. The model explains why...

The asset allocation of university endowments has recently shifted dramatically towards alternative investments. In this paper we examine the role played by strategic competition in motivating this shift. Using a metric capturing competition for undergraduate applications, we test whether...

This paper studies unintended consequences of price cap regulation in the presence of demand externalities in the context of payment cards. The recent U.S. debit card regulation was intended to lower merchant card acceptance costs by capping the maximum interchange fee. However, small-ticket...

This paper analyzes the relationship between consumer bankruptcy patterns and banks' soft-information. Using a major Canadian bank merger as a source of exogenous variation in local banking conditions, we show that local markets affected by the merger exhibit a relative increase in consumer...

U.S. policymakers often treat market competition as a panacea. However, in the case of mortgage securitization, policymakers' faith in competition is misplaced. Competitive mortgage securitization has been tried three times in U.S. history - during the 1880s, the 1920s, and the 2000s - and every...

We show that partnering with venture capitalists may be a curse to entrepreneurs in that it reduces their profits in the commercialization phase. Agents rationally infer that a likely reason an entrepreneur who has received managerial assistance (from a venture capitalist) refrains from a...

"Balancing Cooperation and Competition in Retail Payment Systems: Lessons from Latin America Case Studies" presents the findings of four case studies in Latin America (Argentina, Brazil, Colombia and Mexico) that have explored the issue of cooperation and competition in different retail payments...

In the present paper an attempt will be made to show that in the banking sector wage rigidity increases as consumer inflation decreases. The immediate consequence is that banks cannot offer more competitive prices without shrinking profits. Hence, countries with strict labour laws hinder baking...