Research

Research Summary

This section lists my published papers, working papers, and works in progress. Some projects listed in this section are not yet publicly available, but if you would like more detail on a project, please feel free to send me an email.

You can find my full research statement here.

Research Interests: Agency Conflicts, Household Finance, Corporate Finance, Networks, Empirical Asset Pricing, Regulation

Published & Forthcoming Papers

  1. "Does Regulatory Jurisdiction Affect the Quality of Investment-Adviser Regulation?" with Alan Kwan and Tarik Umar. (2019). American Economic Review. 109(10):3681-3712.

    • Investment advisers switching from SEC to state regulator oversight due to the Dodd-Frank Act had around 30-40% more misconduct.

  2. "Social connections with COVID-19-affected areas increase compliance with mobility restrictions" with Alan Kwan and Vesa Pursiainen. (2020). Science Advances. Published Online. (Data: Facebook Data For Good).

    • A one-standard-deviation increase in social connections with China and Italy - the first countries with major outbreaks of the virus – increases the effectiveness of mobility restrictions by around 50%.

  3. "Bank of Japan Equity Purchases: The (Non-)Effects of Extreme Quantitative Easing" with Randall Morck and Yupana Wiwattanakantang. (2020). Accepted at the Review of Finance. (Tweetstorm.)

    • The BOJ ETF purchase policy seems to have price effects but firms appear to "cash out" rather than increase tangible capital investment or R&D spending.

Working Papers

  1. "Not Coming Home: Trade and Economic Political Uncertainty in American Supply Chain Networks" with Jing Wu and Miaozhe Han. (Media: Sina, Reuters, China Review News Agency, Morningstar, Business Insider)

    • Rather than move supply chain networks home, higher U.S. trade policy uncertainty instead predicts more supply chain movements abroad.

  2. "Informational Role of Investment in Bankruptcy" with Hyunsoo Doh and Yiyao Wang.

    • Debt overhang can have a positive information impact on debt value if secondary markets suffer from information asymmetry.

  3. "Ownership Networks and Bid-Rigging" with Kentaro Asai. (Tweetstorm. Blog. Media: Business Times.)

    • The effect of common ownership networks in public auctions on bid-rigging appear to increase prices that government agencies pay.

  4. "Fickle Fingers: Ride-Hail Surge Factors and Taxi Bookings" with Sumit Agarwal, Shih-Fen Cheng, and Jussi Keppo.

    • Incorporating the substitution effect from ride-hailing services in taxi demand booking increases taxi allocative efficiency.

  5. "How and Why Do Managers Use Public Forecasts to Guide the Market?" with Alan Kwan and Yosuke Kimura.

    • Compared to internal forecasts, public forecast biases appear to trade-off between optimism in case of financial constraints versus pessimism to receive higher managerial payoffs.

  6. "Foregone Consumption and Return-Chasing Investments" with Sumit Agarwal and Pulak Ghosh.

    • Investors chase positive headline stock market index returns on the upside by increasing investment and decreasing consumption but do not respond on the downside.

  7. "Investment Plans, Uncertainty, and Misallocation" with Alan Kwan, Yosuke Kimura, and Eugene Tan.

    • Firms' investment plans appear important for actual investment and respond to intra-fiscal year firm-level economic conditions, implying existing macroeconomic models with imperfect information overstates the importance of informational frictions.

Works in Progress

  1. "Debt and Supplier Diversification"

    • I show that firms trade off financial and operational risk: when financial risk increases, firms diversify suppliers.

  2. "Debt in Tiered-Production Networks"

    • I build a model of network formation to study the impact of network shapes on the distribution of credit risk.

  3. "Common Stock Ownership, the Value of Votes, and Private Benefits of Control"

    • I develop a model to price the value of voting claims embedded in common stock, separate from the cash flow component.

Published Practitioner/Regional Papers

  1. Do Higher-Frequency Data Always Help to Forecast Longer-Horizon Volatility?” with Guanhao Feng. (2017). Journal of Risk. 19(5):55-75.

    • Volatility models of different return horizons trade-off between the precision in model estimates and model misspecification.