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On the Foundations of Competitive Search Equilibrium with and without Market Makers
The literature offers two foundations for competitive search equilibrium, a Nash approach and a market-maker approa

James Albrecht, Xiaoming Cai, Pieter Gautier, Susan Vroman

Working Paper | No.20210905 |

Keywords: Multiple application, competitive search, market makers, efficiency

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Human Capital Investment and Development: The Role of On-the-Job Training
Workers in richer countries experience faster rates of wage growth over their lifetimes than workers in poorer co

Xiao Ma, Alejandro Nakab, Daniela Vidart

Working Paper | No.20210904 |

Keywords: On-the-Job Training, human capital accumulation, lifecycle wage growth

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Learning by Exporting and Wage Profiles: New Evidence from Brazil
Export activity shapes workers’ experience-wage profiles Using detailed Brazil-ian manufacturing employer-employe

Xiao Ma, Marc-Andreas Muendler, Alejandro Nakab

Working Paper | No.20210903 |

Keywords: Export activity, wage profiles, human capital accumulation

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Learning about the Consumption Risk Exposure of Firms
We structurally estimate an investment-based asset pricing model, where firms’ exposure to macroeconomic risk

Yongjin Kim, Lars-Alexander Kuehn, Kai Li

Working Paper | No.20210902 |

Keywords: Parameter uncertainty, Bayesian learning, systematic consumption risk, investment-based asset pricing, SMM

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Delayed Crises and Slow Recoveries
We present a rational expectations model of credit-driven crises In our model econ-omy, banks can operate in two

Xuewen Liu, Pengfei Wang, Zhongchao Yang

Working Paper | No. 20210901 |

Keywords: Credit extensions, synchronization, externality, economic recoveries

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Political Connections, Competition, and Innovation: Quasi-Experimental Evidence from Chinese Firms
This paper studies the causal impact of political connections on innovation Using a unique hand-collected data se

Lei Cheng, Zhimin Li*

Working Paper | No.20210706 |

Keywords: Political connections, corporate innovation, patent application, market competition, China

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Search, Screening and Sorting
We investigate the effect of search frictions on labor market sorting by constructing a model which is in line

Xiaoming Cai, Pieter Gautier, Ronald Wolthoff

Working Paper | No. 20210705 |

Keywords: Sorting, complementarity, search frictions, information frictions, heterogeneity

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Meetings and Mechanisms
There exists a lot of variation in terms of how buyers and sellers meet, both across sectors and over time as

Xiaoming Cai, Pieter Gautier, Ronald Wolthoff

Working Paper | No.20210704 |

Keywords: Search frictions, directed search, matching function, meeting technology, competing mechanisms, competing auctions

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The Legal Origins of Financial Development: Evidence from the Shanghai Concessions
We assemble new data on the British and French concessions in Shanghai between 1845 and 1936 to assess the lega

Ross Levine, Chen Lin, Chicheng Ma, Yuchen Xu*

Working Paper | No. 20210703 |

Keywords: Comparative law, financial development, China

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The Allocation of Talent and Financial Development, 1897 to 1936
We examine how the supply of talent affected financial development, based on a historical experiment that abruptly

Chen Lin, Chicheng Ma, Yuchen Sun, Yuchen Xu

Working Paper | No. 20210702 |

Keywords: Allocation of talent, human capital, modern banks, financial development, China, civil examination

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