Publications
“Integrating structural and reduced-form methods in empirical finance,” Journal of Financial Econometrics, forthcoming.
"Information versus Investment," Review of Financial Studies 36(2023), 1148–1191. (with Stephen J. Terry and Anastasia Zakolyukina)
"Bank Market Power and Monetary Policy Transmission: Evidence from a Structural Estimation," Journal of Finance, forthcoming. 77(2022), 2093–2141. (with Yifei Wang, Yufeng Wu, and Kairong Xiao, code on JF site)
The Misallocation of Finance, Journal of Finance, 76(2021) 2359–2407. (with Jake Zhao, code on JF site.)
Market Power and Bank Risk-Taking in Low Interest-Rate Environments, Journal of Monetary Economics 121(2021), 155–174. (with Yufeng Wu and Kairong Xiao)
Corporate Money Demand, Review of Financial Studies, 34 (2021), 1834–1866. (with Xiaodan Gao and Na Zhang, code on RFS site),
Labor and Capital Dynamics under Financing Frictions, Review of Finance, 23 (2019), 279-323. (with Ryan Michaels and T. Beau Page)
Are Financial Constraints Priced? Evidence from Textual Analysis, Review of Financial Studies, 31 (2018), 2693-2728. (with Matthias Buehlmaier)
Identification is not Causality, and Vice Versa, Review of Corporate Finance Studies, 7 (2018), 1-21. (with R. Jay Kahn)
Estimating and Testing Dynamic Corporate Finance Models, Review of Financial Studies, 31 (2018), 322-361. (with Santiago Bazdresch and R. Jay Kahn, code on RFS site)
Fitting the Errors-In-Variables Model using High-Order Cumulants and Moments, Stata Journal, 17 (2017), 116-129. (with Timothy Erickson and Robert Parham)
Identification with Models and Exogenous Data Variation, Foundations and Trends in Accounting, 10 (2016), 361-375. (with R. Jay Kahn)
Collateral, Taxes, and Leverage, Review of Financial Studies 29 (2016), 1453-1500. (with Shaojin Li and Yufeng Wu)
Equity Market Misvaluation, Financing, and Investment,"Review of Financial Studies 29 (2016), 603-654. (with Missaka Warusawitharana)
Refinancing, Profitability, and Capital Structure, Journal of Financial Economics, 114 (2014), 424-443. (with Andras Danis and Daniel Rettl)
Jensen Prize for Best paper in the Journal of Financial Economics for Corporate Finance, second place. Data and Code
Macroeconomic Implications of Agglomeration, Econometrica, 82 (2014), 731-764. (with Morris Davis and Jonas D.M. Fisher, data and code on Econometrica site)
Minimum Distance Estimation of the Errors-in-Variables Model Using Linear Cumulant Equations, Journal of Econometrics, 183 (2014), 211-221. (with Timothy Erickson and Colin Jiang). Stata module and data set
Agency Conflicts and Cash: Estimates from a Dynamic Model, Journal of Finance, 69 (2014), 883-1921. (with Boris Nikolov)
Dynamic Corporate Finance is Useful: A Comment on Welch, Critical Finance Review, 2 (2013), 173-191. (with Ilya A. Strebulaev)
Dynamic Models and Structural Estimation in Corporate Finance, Foundations and Trends in Finance, 6 (2012), 1-163. (with Ilya A. Strebulaev).
Endogeneity in Empirical Corporate Finance, in George Constantinides, Milton Harris, and Rene Stulz, eds. Handbook of the Economics of Finance Volume 2, 2012, Elsevier. (with Michael R. Roberts).
The Real Effects of Delisting: Evidence from a Regression Discontinuity Design, Finance Research Letters, 9 (2012), 183-193. (with Tor-Erik Bakke and Candace Jens)
Treating Measurement Error in Tobin's q, Review of Financial Studies 25 (2012), 1286-1329. (with Tim Erickson) Data and programs
Threshold Events and Identification: A Study of Cash Shortfalls, Journal of Finance 25 (2012), 1286-1329. (with Tor-Erik Bakke)
Shareholder-Manager Disagreement and Corporate Investment, Review of Finance 15 (2011), 277-300. (with Anjan V. Thakor)
Capital Structure Dynamics and Transitory Debt, Journal of Financial Economics 99 (2011), 235-261. (with Harry DeAngelo and Linda DeAngelo, lead article)
Which Firms Follow the Market? An Analysis of Corporate Investment Decisions, Review of Financial Studies 23 (2010), 1941–1980. (with Tor-Erik Bakke)
Investment-Based Expected Stock Returns, Journal of Political Economy 117 (2009), 1105-1139. (with Laura Xiaolei Liu and Lu Zhang, formerly titled “Regularities”) Gauss Data and Programs for the GMM Estimation
The Corporate Propensity to Save, Journal of Finance 64 (2009), 1729-1766. (with Leigh A. Riddick) Online Appendices
What Can Cash Shortfalls and Windfalls Tell Us About Finance Constraints? in Giorgio Calcagnini and Enrico Saltari (eds.) The Economics of Imperfect Markets, Springer, New York, 2010.
How Costly is External Financing? Evidence from a Structural Estimation, Journal of Finance. 62 (2007), 1705-1745. (with Christopher Hennessy) Winner of the 2007
Brattle Prize for Distinguished Paper in Corporate Finance in the Journal of Finance.
Spin-offs, Divestitures, and Conglomerate Investment, Review of Financial Studies 20 (2007), 557-595. (with Gonul Colak)
Testing Q Theory with Financing Frictions, Journal of Financial Economics 83 (2007), 691-717 (with Christopher Hennessy and Amnon Levy)
On the Accuracy of Different Measures of Q, Financial Management 35 (2006), 5-33. (with Timothy Erickson, lead article)
External Finance Constraints and the Intertemporal Pattern of Intermittent Investment, Journal of Financial Economics 81 (2006), 467-502. (lead article)
Financial Constraints Risk, Review of Financial Studies 19 (2006), 531-559. (with Guojun Wu)
Proxy Quality Thresholds: Theory and Applications. Finance Research Letters 2 (2005), 131-151 (with Timothy Erickson)
Debt Dynamics, Journal of Finance 60 (2005), 1129-1165. (with Christopher Hennessy)
Winner of the 2005 Brattle Prize for Outstanding Paper in Corporate Finance in the Journal of Finance.
Two-Step GMM Estimation of the Errors-in-Variables Model using High-Order Moments, Econometric Theory 18 (2002), 776-799. (with Timothy Erickson)
Is It Inefficient Investment that Causes the Diversification Discount? Journal of Finance 56 (2001), 1667-92. (Nominated for the Brattle Prize)
Fixed Costs of Adjustment, Coordination, and Industry Investment, Review of Economics and Statistics 83 (2001), 628-637. (with Joanne Doyle)
Measurement Error and the Relationship between Investment and q, Journal of Political Economy 108 (2000), 1027-57. (with Timothy Erickson) Also, Erratum, Journal of Political Economy 118 (2010), 1252-57. Data and programs
Why Do Investment Euler Equations Fail? Journal of Business and Economic Statistics, 16 (1998), 469-478.
The Effect of Uncertainty on Investment: Some Stylized Facts, Journal of Money, Credit, and Banking 28 (1996), 64-83. (with John V. Leahy)
Internal Finance and Firm Investment, Journal of Money, Credit, and Banking 27 (1995), 683-701. (with R. Glenn Hubbard and Anil K. Kashyap)
Problems with Identifying Adjustment Costs from Regressions of Investment on Q, Economics Letters 46 (1994), 339-344.
Debt, Liquidity Constraints, and Corporate Investment: Evidence from Panel Data, Journal of Finance 47 (1992), 1425-1460.
Investment and Financial Asset Accumulation, Journal of Financial Intermediation 1 (1991), 307-334.
U.S. Corporate Leverage: Developments in 1987 and 1988, Brookings Papers on Economic Activity 1 (1990), 255-278. (with Ben S. Bernanke and John Y. Campbell)