The rise of China and fivefold growth of its stock market over the past decade have fueled a
growing literature on this market in financial economics. On the corporate side, researchers …

We study the effects of technological change on financial intermediation, distinguishing
between innovations in information (data collection and processing) and communication …

We study how environmental, social and governance (ESG) investing reshapes information
aggregation by prices. We develop a rational expectations equilibrium model in which …

Two modern economic trends are the increase in firm size and advances in information
technology. We explore the hypothesis that big data disproportionately benefits big firms …

Financial markets have a central role in allocating resources in modern economies. One of
the main functions of financial markets is the discovery of information. This information in …

The US financial services industry grew from 4.9 percent of GDP in 1980 to 7.9 percent of
GDP in 2007. A sizeable portion of the growth can be explained by rising asset management …

What capital allocation role can China's stock market play? Counter to perception, stock
prices in China have become as informative about future profits as they are in the US. This …

A quantitative investigation of financial intermediation in the United States over the past 130
years yields the following results:(i) the finance industry's share of gross domestic product …

This paper shows that real decisions depend not only on the total amount of information in
prices, but the source of this information—a manager learns from prices when they contain …

I demonstrate an important tension between acquiring information and incorporating it into
asset prices. As a salient case, I analyze algorithmic trading (AT), which is typically …