I develop a novel link between frictions in international financial markets and fiscal procyclicality.Complementing existing evidence, A decomposition of government expenditure into social spending public good reveals that the cyclical correlation exhibits biggest differences across countries. build small open economy model with income inequality, endogenous policy sovereign default risk to rat...

We report results of a new test of the financing of large and indivisible projects – arguably the focus of most capital structure theory. We develop a filter that identifies investment spikes in a large population of firms. Consistent with the pecking-order theory we find that projects are predominantly financed with debt, particularly in large and profitable firms. However, we reject the hypot...

We propose a novel actuarial risk model which, unlike the classical Crámer-Lundberg model, incorporates stream of random premiums that offset claims. A key feature is discrete time accounting and claims flow, whereby lending itself to walk type analysis. derive various estimates ruin probability thereby providing an effective method assessment over future horizon.

The real estate sector is responsible for a significant greenhouse gas externality, which has prompted interest from policy makers, as well as the emergence of voluntary disclosure standards. As opposed to general concerns about the potentially negative impact of “sustainability” programs and initiatives on corporate financial performance, energy efficiency measures may lead to significant retu...

OBJECTIVES To document how out-of-pocket health expenditure can lead to debt in a poor rural area in Cambodia. METHODS After a dengue epidemic, 72 households with a dengue patient were interviewed to document health-seeking behaviour, out-of-pocket expenditure, and how they financed such expenditure. One year later, a follow-up visit investigated how the 26 households with an initial debt had...

In the decades before the 1997–1998 Asian financial crisis, South Korea and Thailand experienced sustained economic growth attributable to investment growth and productivity gains. The investment underlying this economic expansion was financed by relatively high levels of private savings as well as by foreign borrowing. During the crisis, international creditors lost confidence in these countri...

We propose a unified structural credit risk model incorporating insolvency, recovery and rollover risks. The firm finances itself mainly by issuing shortand long-term debt. Short-term debt can have either a discrete or a more realistic staggered tenor structure. We show that a unique threshold strategy (i.e., a bank run barrier) exists for short-term creditors to decide when to withdraw their f...

Between late 2010 and early 2013, Australia’s net income deficit narrowed to its lowest point since the early 1990s. this article examines the reasons for this narrowing and finds that it was mainly due to declines in the average yields paid by Australian entities on their foreign debt and equity liabilities. the lower average yield paid on foreign debt liabilities reflects a combination of dec...

The purpose of this paper is to explore determinants the debt financing FinTech start-ups. Using a new hand-collected multisource database that maps start-ups incorporated in UK from 2010 2015, study examines how characteristics affect types used first three years after incorporation. novelty consists identification and analysis enable obtain long-term hence finance their growth. primarily cond...

This paper presents a new approach to the study and assessment of eyewitness memory reports. The Eyewitmem Project, an interdisciplinary research initiative financed by the European Commission [3], attempts to use psychological knowledge and computer-aided document analysis as well as magnetic (fMRI) scans of the brain to measure the reliability of eyewitness statements in legal contexts. The p...