China is now facing the challenges of high leverage. Our study has examined the role of firms’ rising debt in explaining the decrease in labor share in recent years. We developed a model to show that firms may strategically use debt to increase their bargaining power, resulting in lower labor...

We introduce a simple adverse selection problem arising in credit markets into a standard textbook real business cycle model. There is a continuum of households and a continuum of anonymous producers who produce the final goods from intermediate goods. These producers do not have the resources...

Climate change severely challenges our ecosystem and society, affecting urban residents' socioeconomic activities. Thus, assessing severe weather risk is crucial for evaluating urban sustainability; understanding trends, causes, and impacts on socioeconomic development; and supporting the United...