In this paper we develop models of intra-industry trade in which the technological infrastructure associated with measurement activity plays a role in determining the ability of firms to differentiate their products, making them more marketable, and hence promoting intra-industry trade. We...

Purpose: Machine learning is having a major impact on banking, law and other organisations. The speed with which this technology is developing to undertake tasks that are not only complex and technical but also time-consuming and that are subject to constantly changing parameters is astounding....

Since the Great Depression in 1929, economists have never stopped soul-searching for the lessons to be drawn from the crisis. But mainstream reflections have been misguided, confined to stereotypical targets of blame such as “lax regulation,” “policy mistakes” and “underestimation of...

I exploit the price differential of credit default swap (CDS) contracts written on debts with different levels of seniority to measure the implicit government guarantees enjoyed by European financial institutions from 2005 to 2013. I determine that the aggregate guarantee increased substantially...

Firm cyclicality decreases by around 40% after the inception of credit default swap (CDS) trading. The effect is due to CDS firms’ lower asset growth-GDP growth sensitivity in good times and stronger for firms facing a more severe exacting creditor problem. The cyclicality-reducing effect of...