Purpose We aim to provide a systematic literature review of the determinants and
consequences of labor investment efficiency in an international context. First, we offer a …

A dynamic model featuring a stochastic technology frontier shows significant impact of
technology adoption for asset prices. In equilibrium, firms operating with old capital are …

We extend a production-based asset pricing model by introducing learning about disaster
risk. The information is not perfect, and Bayesian learning is adopted to update beliefs about …

We structurally estimate an investment-based asset pricing model, in which firms' exposure
to macroeconomic risk is unknown. Bayesian beliefs about this parameter are updated from …

This study examines how capital age affects the efficiency of corporate labor investments.
Using a sample of 1,588 US firms from 1991 to 2016, we find that the efficiency of labor …

Recent work stresses a potentially important relation between credit supply shocks and
aggregate TFP based on factor misallocation. I take three steps to examine this relation …

We show that the negative relation between real investments and future stock returns is
primarily driven by the subsample of firms building additional capacity. We develop a real …

I quantify how information frictions and learning from financial markets affect resource
misallocation. I develop a dynamic model that features financial markets guiding managers …