this study empirically examines whether managers manipulate reported income through the timing of sales of long-lived assets and investments. several empirical implications of the income-smoothing and debt-equity hypothesis in the context of asset sales were tested. the findings are consistent with the timing of asset sales by managers so that the recognized accounting income from these sales s...

We study a production economy with regime switching in the conditional mean and volatility of productivity growth. The representative agent has generalized disappointment aversion (GDA) preferences. We show that volatility risk in productivity growth carries a positive and sizable risk premium in levered equity. Our model can endogenously generate long-run risks in the volatility of consumption...

Following massive government interventions during the great recession of 20072009, governments’ indebtedness has skyrocketed around the globe. These dramatic financing needs raise uncertainty about the future stance of fiscal policies and their effects on the growth prospects of the economy. In this paper, we reconsider the link between short-run stabilization and uncertainty about long-term fi...

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Trickle down effects of Inter State Migration in a period of high growth in the Indian economy. Abstract India has seen many high-growth spells between 1980-2007. At the same time, there is a great deal of concern that these high rates of growth are not trickling down to the poor, or at least not rapidly enough. Some states in India are growing much more rapidly than others exacerbating inequal...