This paper presents the results of cross-sectional regressions to explain DCF discount rates used by investment banks and boutique valuation firms in 2,364 DCF valuations of whole companies, plus companion regressions to explain associated weighted-average costs of capital as calculated by...

This paper studies venue choice and price discrimination in the market for German Bunds, the world's second most liquid treasury market. Dealers trade Bunds in a hybrid market with electronic centralized limit order books (on the interdealer exchange MTS) and a dominant over-the-counter (OTC)...

We argue that managers' choice to manage earnings depends on the trade-off in the present value of expected future net benefits associated with that choice. Specifically, we examine if discount rates are associated with the likelihood that managers engage in earnings management to meet or beat...

Consumers love to pay less and get more. But are better deals at the retail point of sale always welfare-enhancing? This question points to the puzzle of bundling and bundled discounts. The antitrust concerns raised by a recent set of agreements in the telecommunications sector, allowing for the...

Discount is the difference between the face value of a bond and its present value. I propose an arbitrage-free dynamic framework for discount models, which provides an alternative to the Heath–Jarrow–Morton framework for forward rates. I derive general consistency conditions for factor...

This paper studies the efficiency of the cryptocurrency market by looking at the distribution of bitcoin prices over time and across exchanges-currency pairs. We document persistent differences in relative bitcoin prices (or discounts), with a half-life of 1 day, and a distribution which is...