I consider directed technical change in an economy where market structure is endogenous. Endogeneity of market structure leads to both theoretical and empirical implications that are substantially different from those in the existing literature and that in some cases are rather surprising. There...

Cross-sectional volatility is given by the standard deviation of a set of asset returns over a single time period. CSV is critical because it represents the opportunity to outperform a benchmark. In this Research Insight, we present an exact methodology for decomposing CSV into contributions...

In this paper we examine three approaches for capturing equity risk premia. In the "simple" approach, the manager goes long stocks with positive exposure and shorts stocks with negative exposure, but makes no effort to control for other exposures or to minimize risk. In the "pure" approach, the...