Working Papers

These papers are working drafts of research which often appear in final form in academic journals. The published versions may differ from the working versions provided here.

Pedro M. Gardete, Megan H. Antill
August 2018

The increasing amount of data available to consumers has most likely aided in decision-making. However, it has also created an opportunity for sellers to design the information landscape that consumers navigate. This paper develops a...

Robert A. Burgelman, John K. Thomas
August 2018

This study of the transformation of the mobile device industry examines how cross-boundary disruption (XBD) superseded the incumbents’ sustaining innovation, which helps explain the rapid rise of Apple and Google Android and the equally rapid...

Ruth Beer, Ignacio Rios, Daniela Saban
August 2018

Motivated by recent initiatives to increase transparency in procurement, we study the effects of disclosing information about previous purchases in a setting where an organization delegates its purchasing decisions to its employees. When employees can...

Paulo Somaini
July 30, 2018

This paper provides a positive identification result for procurement models with asymmetric bidders, statistically dependent private information, and interdependent costs. When bidders are risk neutral, the model’s payoff-relevant primitives are: (i) the joint distribution of...

Saumitra Jha, Moses Shayo
July 26, 2018

How can we help individuals handle financial decisions in an increasingly complex environment? We explore an easily scalable avenue for improving financial understanding: learning by online trading in stocks. We randomly assign 1345 adults incentives...

Katherine Casey
July 19, 2018

Seminal studies show that naïve lab participants accurately predict who wins real world elections based solely on candidate photos. It is unclear what this implies for the health of democracy without knowing whether candidates who...

Lisa De Simone, Rebecca Lester
July 11, 2018

Prior literature demonstrates that firms should use internal capital before accessing costly external finance. However, prior to 2018, the U.S. repatriation tax imposed an internal capital market friction on U.S. multinational firms (MNCs), thereby motivating...

Charles M. C. Lee, Christina Zhu
July 6, 2018

We use trade-level data to examine the role of actively managed funds (AMFs) in earnings news dissemination. AMFs trade (172 percent) more on earnings announcement (EA) days than on non-EA days. The EA buys made...

Andres Elberg, Pedro M. Gardete, Rosario Macera, Carlos Noton
July 2018

This paper investigates the dynamic effects of price promotions in a retail setting through the use of a large-scale field experiment which involved varying the promotion depths of 170 products across 17 categories in 10...

Stephen Comello, Stefan J. Reichelstein
July 2018

We introduce and validate a measure of the Levelized Cost of Electricity Storage (LCOES). On a per kWh basis, this metric captures the economic break-even price required to charge and discharge electricity in N cycles...

Stephen J. Anderson, Amrita Kundu, Kamalini Ramdas
June 27, 2018

We examine the effect of firm-specific business disruptions on the performance of small firms in emerging markets. We study the impact of both managerial disruptions (which result in the absence of the entrepreneur-owner or more...

Laura Blattner, Luísa Farinha, Francisco Rebelo
June 26, 2018

Winner 2017 BlackRock Applied Research Award

AQR Top Finance Graduate Award 2018

We provide evidence that a weak banking sector contributed to low productivity following the European debt crisis. An unexpected increase in capital requirements...

Arthur Kortwewg, Michael Schwert, Ilya A. Strebulaev
June 21, 2018

This paper shows that the frequency of capital structure adjustment varies significantly across firms. The most active 25% of firms account for 51% of leverage adjustments, while the least active 50% of firms account for...

Shai Bernstein, Emanuele Colonnelli, Davide Malacrino, Timothy James McQuade
June 19, 2018

New firm formation is a critical driver of job creation, and an important contributor to the responsiveness of the economy to aggregate shocks. In this paper we examine the characteristics of the individuals who become...

Kun Kuang, Ruoxuan Xiong, Peng Cui, Susan Athey, Bo Li
June 16, 2018

In many important machine learning applications, the training distribution used to learn a probabilistic classifier differs from the testing distribution on which the classifier will be used to make predictions. Traditional methods correct the distribution...

John Munoz, Susan Olzak, Sarah A. Soule
June 14, 2018

A major goal of the environmental movement is to conserve or improve the natural environment, but evidence showing that environmental mobilization produces positive environmental outcomes is mixed. This paper addresses a fundamental question about the...

Heitzman Shane, Rebecca Lester
June 12, 2018

We examine the relation between net operating loss (NOL) carryforwards and external financing and liquidity decisions using hand-collected data that more precisely measure the value of future tax loss benefits. NOL carryforwards drive variation in...

Rebecca Diamond, Michael J. Dickstein, Timothy James McQuade, Petra Persson
June 4, 2018

The Affordable Care Act (ACA) established health insurance marketplaces where consumers can buy individual coverage. Leveraging novel credit card and bank account micro-data, we identify new enrollees in the California marketplace and measure their health...

Joann F. de Zegher, Dan A. Iancu, Erica Plambeck
June 2018

Millions of poor smallholder farmers produce global commodities, often through illegal deforestation. Multinational commodity buyers have committed to halt illegal deforestation and improve farmers’ livelihoods in their supply chains. We propose a profitable way to...

James Copland, David F. Larcker, Brian Tayan
May 30, 2018

Proxy advisory firms have significant influence over the voting decisions of institutional investors and the governance choices of publicly traded companies. However, it is not clear that the recommendations of these firms are correct and...