Reducing the impact of climate change on poor and vulnerable households is essential to hastening poverty reduction. In thinking about policies that do this, it is useful to apply the same hazard, exposure and vulnerability framework that is often used to understand the physical impacts of...

Does banking supervision affect bank borrowers’ transition to the carbon-neutral economy? We use a unique identification strategy that combines the French bank climate pilot exercise with a proxy that measures borrowers’ transition risk to present two novel findings. First, climate stress...

Does banking supervision affect borrowers‘ transition to the carbon-neutral economy? We use a unique identification strategy that combines the French bank climate pilot exercise with borrowers‘ carbon emissions to present two novel findings. First, climate stress tests actively facilitate...

This paper aims to investigate empirically how international migration and remittances in Indonesia, particularly female migration, affect child outcomes and labor supply behavior in sending households. The authors analyze the Indonesia Family Life Survey data set and apply an instrumental...

We study the effect of borrowing firms' institutional ownership on lenders' monitoring demand. Using the data on a covenant-monitoring mechanism known as auditor's certificate of covenant compliance (ACC), we show that the likelihood that a loan contract includes the ACC provision increases with...

Low adjustment cost for inventory implies that firms can optimally substitute inventory investment for fixed investment by weighing incremental gains against total costs of adjusting the two types of capital. I empirically show that such inventory dependence—arising due to adjustment-cost...

We investigate how the value of cash holdings changes following the mandatory adoption of International Financial Reporting Standards (IFRS), which is viewed as an exogenous shock to information asymmetry between firms and outside investors. Using firm-level data from 47 countries, we find that...

We study how employment protection laws (EPLs) affect corporate cash-holding decision. By exploiting within-country changes in EPLs across 20 OECD countries as a source of variation in labor adjustment costs, we show that following an increase in the stringency of EPLs, firms' cash holdings...