We analyze the effects of a recent financial reform that enables cross-market invest-ment between Hong Kong and Shanghai stock exchanges. Using a vector error-correction model, we found that the reform announcement considerably narrows the equilibrium level of price disparity and strengthens the...

In spite of the popularity of model calibration in finance, empirical researchers have put more emphasis on model estimation than on the equally important goodness-of-fit problem.This is due partly to the ignorance of modelers, and more to the ability of existing statistical tests to detect...

Replication is central to normal scientific investigation. This fact is widely accepted in business disciplines. However, many researchers are uncertain how to build replication into their own research designs and this may explain why they do not routinely adopt this practice. The purpose of...

We analyze the effects of a recent financial reform that enables cross-market investment between Hong Kong and Shanghai stock exchanges. Using a vector error-correction model, we nd that the reform announcement considerably narrows the equilibrium level of price disparity and strengthens the...

Reported is a formal investigation of store patronage in urban China. Using consumer panel data for sales of packaged goods through store types and named store chains, patterns of sales, loyalty and duplication are examined. Observed patterns are benchmarked against predictions from the...