Research

An Equilibrium-Based Measure of Systemic Risk with Katerina Ivanov, Weidong Tian, and Kevin Tseng

Abstract: This paper develops and implements an equilibrium model of systemic risk. The model derives a systemic risk measure, loss beta, in characterizing all too-big-to-fail banks using a capital insurance equilibrium. By constructing each bank’s loss portfolio with a recent accounting approach, we perform a comprehensive empirical study of this loss beta measure and document all TBTF banks from 2002 to 2019. Our empirical findings suggest a significant number of too-big-to-fail banks in 2018–2019. 

Keywords: systemic risk; too big to fail; capital insurance; loss beta

JEL Codes: G11; G12; G13

The Impact of Bike Share on Crime with Jordan Izenwasser

Abstract: Transportation stations impact local crime by changing the incentives for criminal activity. Most studies on the link between crime and transit stations focus on public transportation, however, there is limited evidence for other transportation alternatives, like micromobility. Using a spatial difference-in-differences research design, we provide evidence that bike share docking stations cause a significant increase in crime within 25 meters by leveraging data on Citi Bike and reported crime in New York City. Our results are robust across various estimators and counterfactuals, and we find heterogeneous effects depending on the type of crime and the time of day a crime was reported to have occurred. These findings provide insights into the external costs of micromobility, offering policymakers further information when considering its adoption as a transportation alternative.

Keywords: micromobility; crime; bike share

JEL Codes: K42,R41

• Do Risk Preferences Drive Coordination? Evidence from a Temporal Stag Hunt Game 

• Risk Preferences and Overbidding in Private Value First Price Auctions

• Strategic Self-Control in Bargaining

• An Experimental Study of Linear Public Goods Games with Ambiguous Endpoints with R. Mark Isaac and James M. Walker

• Fair Wage? Fair Work? Evidence on Real-Effort Ultiamtum Games with Jeongbin Kim and R. Vijay Krishna

• Weathering Uncertainty: Experimental Insights into Farmers' Climate Decisions in California, Florida, Illinois, and Nebraska with Michée A. Lachaud, Nicholas Reynolds, James Schulte, Danica Lombardozzi, Forrest Lacey, Dgfrey Bright, John R. Hamman, Simone Tilmes

• Is there a Behavioral Divide: Farmers vs General Public in Risk, Time, and Social Preferences? Implications for Climate Adaptation Policy Design with Michée A. Lachaud, James Schulte, Nicholas Reynolds, John Hamman, Danica Lombardozzi, Forrest Lacey, Dgfrey Bright, Simone Tilmes