The Journal of Finance publishes leading research across all the major fields of finance. It is one of the most widely cited journals in academic finance, and in all of economics. Each of the six issues per year reaches over 8,000 academics, finance professionals, libraries, and government and financial institutions around the world. The journal is the official publication of The American Finance Association, the premier academic organization devoted to the study and promotion of knowledge about financial economics.
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What if Trading Location Is Different from Business Location? Evidence from the Jardine Group
Published: 5/6/2003, Volume: 58, Issue: 3 | DOI: 10.1111/1540-6261.00564 | Cited by: 101
Kalok Chan, Allaudeen Hameed, Sie Ting Lau
AbstractWe examine the price behavior and market activity of the Jardine Group companies after they were delisted from Hong Kong in 1994. Although the trading activity of the Jardine Group moved to Singapore, the core businesses remained in Hong Kong and Mainland China. Evidence indicates the Jardine stocks are correlated less (more) with the Hong Kong (Singapore) market after the delisting. This result cannot be explained by various hypotheses, such as relocation of core business, time‐varying betas, migration of trading activity, and currency and tax distortions. We conclude that price fluctuations are affected by country‐specific investor sentiment.
Specification Tests for Portfolio Regression Parameter Stationarity and the Implications for Empirical Research
Published: 5/1979, Volume: 34, Issue: 2 | DOI: 10.1111/j.1540-6261.1979.tb02108.x | Cited by: 15
STANLEY J. KON, W. PATRICK LAU
THE TOKYO STOCK EXCHANGE AND THE CAPITAL ASSET PRICING MODEL
Published: 5/1974, Volume: 29, Issue: 2 | DOI: 10.1111/j.1540-6261.1974.tb03063.x | Cited by: 11
Sheila C. Lau, Stuart R. Quay, Carl M. Ramsey
Monetary Policy and Inequality
Published: 7/27/2023, Volume: 78, Issue: 5 | DOI: 10.1111/jofi.13262 | Cited by: 75
ASGER LAU ANDERSEN, NIELS JOHANNESEN, MIA JØRGENSEN, JOSÉ‐LUIS PEYDRÓ
We analyze the distributional effects of monetary policy on income, wealth, and consumption. We use administrative household‐level data covering the entire population in Denmark over the period 1987 to 2014 and exploit a long‐standing currency peg as a source of exogenous variation in monetary policy. We find that gains from softer monetary policy in terms of income, wealth, and consumption are monotonically increasing in ex ante income. The distributional effects reflect systematic differences in exposure to the various channels of monetary policy, especially nonlabor channels (e.g., leverage and risky assets). Our estimates imply that softer monetary policy increases income inequality.
Investor Tax Credits and Entrepreneurship: Evidence from U.S. States
Published: 8/15/2023, Volume: 78, Issue: 5 | DOI: 10.1111/jofi.13267 | Cited by: 78
MATTHEW DENES, SABRINA T. HOWELL, FILIPPO MEZZANOTTI, XINXIN WANG, TING XU
Angel investor tax credits are used globally to spur high‐growth entrepreneurship. Exploiting their staggered implementation in 31 U.S. states, we find that they increase angel investment yet have no significant impact on entrepreneurial activity. Two mechanisms explain these results: crowding out of alternative financing and low sensitivity of professional investors to tax credits. With a large‐scale survey and a stylized model, we show that low responsiveness among professional angels may reflect the fat‐tailed return distributions that characterize high‐growth startups. The results contrast with evidence that direct subsidies to firms have positive effects, raising concerns about promoting entrepreneurship with investor subsidies.