FBE Research Page
The collaborative nature of research at USC Marshall is shown even in the architecture. Here Hoffman Hall and Bridge Hall are connected by walkways.


USC FBE Marshall Research

The USC Marshall School of Business Department of Finance and Business Economics (FBE) has faculty who do cutting edge research in fields ranging from incentives for managers, to financial crisis theory, to the neuroscience of decisions. They publish in top journals including the American Economic Review, Econometrica, the Journal of Economic Theory, the Journal of Finance, the Journal of Financial Economics, the Journal of Political Economy, and the Review of Financial Studies.

Many FBE professors collaborate with other professors at Marshall and other schools. Marshall FBE faculty draw on a network begun at top graduate Ph.D. programs (faculty have degrees from schools including M.I.T., Stanford, the University of Chicago and USC Marshall), renewed by presentations of their working papers at a rigorous system of workshops, and informed by research done both within and outside the department.

Below is a list of forthcoming and recent publications since 2014. Links to many of these articles may be found by going to the Marshall website, clicking on the Department of Finance and Business Economics Faculty (link below) and going to the homepage of the professor.

To learn more about FBE Faculty, please visit FBE faculty page.

Forthcoming | 2016 | 2015 | 2014


Ahern, Kenneth R. (2016), “Information Networks: Evidence from Illegal Insider Trading Tips,” Journal of Financial Economics (forthcoming).

Alonso, Ricardo and Odilon Câmara (2016), “Political Disagreement and Information in Elections,” Games and Economic Behavior (forthcoming).

Chang, Tom, David H. Solomon, Samuel M. Hartzmark and Eugene Soltes (April 2016), “Being Surprised by the Unsurprising: Earnings Seasonality and Stock Returns,” Review of Financial Studies (Forthcoming).
Best Paper Award, California Corporate Finance Conference, 2015
Hillcrest Behavioral Finance Award (First Place), 2015

Cheeseman, Henry R., C. Kerry Fields and Kevin C. Fields (2016), Contemporary Real Estate Law 3rd edition, Wolters Kluwer. ISBN 978-1-4548-7343-3 (forthcoming).

Ferson, Wayne E. and Haitao Mo (2016), “Measuring Performance with market and volatility timing and Selectivity,” Journal of Financial Economics (forthcoming).

Fields, C. Kerry and Kevin C. Fields (2016), Essentials of Real Estate Law 1st edition, Wolters Kluwer. ISBN 978-1-4548-5605-4 (forthcoming).

Frydman, Cary and Colin Camerer (2016), “Neural Evidence of Regret and its Implications for Investor Behavior,” Review of Financial Studies (forthcoming).

Frydman, Cary and Gideon Nave (2016), “Extrapolative Beliefs in Perceptual and Economic Decisions: Evidence of a Common Mechanism,” Management Science (forthcoming).

Hoberg, Gerard and Katie Moon (2016), “Offshore Activities and Financial vs Operational Hedging,” Journal of Financial Economics (forthcoming).

Hoberg, Gerard and Gordon Phillips (2016), “Industry Choice and Product Language,” Management Science (forthcoming).

Jaimovich, Nir, Martin Gervais, Henry Siu, and Yaniv Yedid-Levi (2016), “What Should I be when I Grow Up? Occupations and Unemployment over the Life Cycle,” Journal of Monetary Economics (forthcoming).

Jaimovich, Nir and Sergio Rebelo (2016), “Non-linear Effects of Taxation on Growth,” Journal of Political Economy (forthcoming).

Jaimovich, Nir, Marty Eichenbaum, Sergio Rebelo, Josephine Smith (2016), “How Frequent are Small Price Changes,” American Economic Journal: Macroeconomics (forthcoming).

Jones, Christopher and Joshua Shemesh (2016), “Option Mispricing Around Nontrading Periods,” Journal of Finance (forthcoming).

Jones, Christopher and Lukasz Pomorski (2016), “Investing in Disappearing Anomalies,” Review of Finance (forthcoming).

Joslin, Scott and Yaniv Konchitchki (2016), “Interest Rate Volatility, the Yield Curve, and the Macroeconomy,” Journal of Financial Economics (forthcoming).

Joslin, Scott (2016), “Can Unspanned Stochastic Volatility Models Explain the Cross Section of Bond Volatilities?,” Management Science (forthcoming).

Korteweg, Arthur and M. Sørensen (2016), “Skill and Luck in Private Equity Performance,” Journal of Financial Economics (forthcoming).

Korteweg, Arthur, Bernstein, S., and K. Laws, (2016), “Attracting Early-Stage Investors: Evidence from a Randomized Field Experiment,” Journal of Finance (forthcoming).

Linnainmaa, Juhani, Stephen Foerster, Brian Melzer, and Alessandro Previtero (2016), “Retail financial advice: Does one size fit all?,” Journal of Finance (forthcoming).

Rozo, Sandra V. and Carla Calero (2016), “The Effects of Youth Training on Risk Behavior: The Role of Non-Cognitive Skills,” IZA Journal of Labor and Development (forthcoming).

Rozo, Sandra V., Daniel Mejía and Pascual Restrepo (2016), “On the Effects of Enforcement on Illegal Activities? Evidence from a Quasi-experiment,” World Bank Economic Review (forthcoming).

Simundza, Dan (2016), “Cream Puffs: Why do Elite College Football Programs Schedule Games Against Vastly Inferior Opponents?,” Journal of Sports Economics (forthcoming).

Tüzel, Şelale and Miao Ben Zhang, (2016), “Local Risk, Local Factors, and Asset Prices,” Journal of Finance (forthcoming).

Wang, Yongxiang and Ray Fisman (2016), “The distortionary effects of incentives in government: Evidence from China's "death ceiling" program,” American Economic Journal: Applied Economics (forthcoming).

Wang, Yongxiang, Heather Haveman, Nan Jia, and Jing Shi (2016), “The Dynamics of Political Embeddedness in China,” Administrative Science Quarterly (forthcoming).

Wu, Yanhui (2016), “Authority, Incentives and Performance: Evidence from a Chinese Newspaper,” Review of Economics and Statistics (Forthcoming).

Wu, Yanhui (2016), “Incentive Contracts and the Allocation of Talent,” Economic Journal (Forthcoming).

Zapatero, Fernando (2016), “Reference-Based Decisions in Finance,” in I. Venezia (editor), Behavioral Finance: Sophistication, Gender, Attention, Media, and Culture Effects on Investors' Decisions, World Scientific, (forthcoming).

Zapatero, Fernando, Gómez, J.-P., and R. Priestley (2016), “Labor Income, Relative Wealth Concerns, and the Cross-section of Stock Returns,” Journal of Financial and Quantitative Analysis (forthcoming).

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Alonso, Ricardo and Odilon Câmara (2016), “Bayesian Persuasion with Heterogeneous Priors,” Journal of Economic Theory 165, 672-706.

Alonso, Ricardo and Odilon Câmara (November 2016), “Persuading Voters,” American Economic Review 106 (11), 3590-3605.

Chang, Tom, David H. Solomon and Mark Westerfield (February 2016), “Looking for Someone to Blame: Delegation, Cognitive Dissonance and the Disposition Effect,” Journal of Finance 71 (1), 267-302.

Chang, Tom, Tal Gross, Matthew Neidell and Joshua S. Graff Zivin (2016), “Particulate Pollution and the Productivity of Pear Packers,” American Economic Journal: Economic Policy 8 (3).

Chang, Tom, Tal Gross, Matthew Neidell and Joshua Graff Zivin (September 2016), “Air Pollution is Making Office Workers Less Productive,” Harvard Business Review.

Fields, C. Kerry and Kevin C. Fields (September 2016), Essentials of Real Estate Law, Aspen Publishers.

Frydman, Cary and Colin Camerer (2016), “The Psychology and Neuroscience of Financial Decision Making,” Trends in Cognitive Science 20, 661-675.

Hoberg, Gerard and Gordon Phillips (October 2016), “Text-Based Network Industries and Endogenous Product Differentiation,” Journal of Political Economy 124 (5), 1423-1465.

Hoberg, Gerard, Keongtae Kim and Anand Gopal (June 2016), “Does Product Market Competition Drive CVC Investment? Evidence from the U.S. IT Industry,” Information Systems Research 27 (2), 259-281.

İmrohoroğlu, Selahattin, Sagiri Kitao and Tomoaki Yamada (2016), “Achieving Fiscal Balance in Japan,” International Economic Review, 57, 117-154.

İmrohoroğlu, Selahattin and Gary Hansen (July 2016), “Fiscal Reform and Government Debt in Japan: A Neoclassical Perspective,” Review of Economic Dynamics, 21, 201-224.

Korteweg, Arthur and S. Nagel (2016), “Risk-Adjusting the Returns to Venture Capital,” Journal of Finance 71(3), 1437-1470.

Korteweg, Arthur, R. Kraussl and P. Verwijmeren (2016), “Does it Pay to Invest in Art? A Selection-corrected Returns Perspective,” Review of Financial Studies 29 (4), 1007-1038.

Korteweg, Arthur and M. Sørensen (2016), “Estimating Loan-to-Value Distributions,” Real Estate Economics 44 (1), 41-86.

Linnainmaa, Juhani, Ray Ball, Joseph Gerakos, and Valeri Nikolaev (2016), “Accruals, cash flows, and operating profitability in the cross section of stock returns,” Journal of Financial Economics 121, 28-45. 

Linnainmaa, Juhani, Walter Torous, and James Yae, (2016), “Reading the tea leaves: Model uncertainty, robust forecasts, and the autocorrelation of analysts’ forecast errors,” Journal of Financial Economics 122, 42-64.

Linnainmaa, Juhani, Matti Keloharju, and Peter Nyberg, (2016), “Return seasonalities,” Journal of Finance 71, 1557-1589.

Linnainmaa, Juhani, and Joseph Gerakos (2016), “Market reactions to tangible and intangible information revisited,” Critical Finance Review 5, 135-163.

Matsusaka, John (2016), “Ballot Order Effects in Propositions Elections,” Public Choice.

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Ahern, Kenneth R., Daniele Daminelli and Cesare Fracassi (2015), “Lost in Translation? The Effect of Cultural Values on Mergers Around the World,” Journal of Financial Economics 117(1), 165-189.

Ahern, Kenneth R. and Denis Sosyura (2015), “Rumor Has It: Sensationalism in Financial Media,” Review of Financial Studies 28(7), 2050-2093.

Câmara, Odilon and Dan Bernhardt (2015), “Learning about Challengers,” Games and Economic Behavior 90, 181-206.

DeAngelo, Harry and Richard Roll (2015), “How Stable Are Corporate Capital Structures?,” Journal of Finance, 373-418.

DeAngelo, Harry and René M. Stulz (2015), “Liquid-Claim Production, Risk Management, and Bank Capital Structure: Why High Leverage Is Optimal for Banks,” Journal of Financial Economics, 219-236.

Dorgruner, Seda (2015), “The Determinants of the FHLB Advance Use Levels for Small Banks: A Tobit Analysis,” Journal of Applied Finance, 25 (2), 35-56.

Ferson, Wayne E. and Andrew F. Siegel (2015), “Optimal Orthogonal Portfolios with Conditioning Information,” Chapter 35 in the Handbook of Financial Econometrics, volume 1, 977-1003. C.F. Lee, Editor. ISBN 978-1-4614-7749-5. Springer Science and Business Media, New York.

Harris, Lawrence, David H. Solomon and Samuel M. Hartzmark (June 2015), “Juicing the Dividend Yield: Mutual Funds and the Demand for Dividends, Journal of Financial Economics 116 (3), 433-451. Lead Article.
Fama/DFA Prize for the Best Paper in the Journal of Financial Economics on Capital Markets and Asset Pricing (Second Place), 2015.

Harris, Lawrence, Peter Kyle and Eric Sirri (2015), “Statement of the Financial Economists Roundtable, April 2015: The Structure of Trading in Bond Markets,” Financial Analysts Journal.

Hoberg, Gerard and Vojislav Maksimovic (May 2015), “Redefining Financial Constraints: a Text-Based Analysis,” Review of Financial Studies 28 (5),1312-1352.

İmrohoroğlu, Ayşe and Kaiji Chen (Online August 29, 2015), “Debt and the U.S. Economy,” Economic Theory.

Jaimovich, Nir, Eric Anderson and Duncan Simester (October 2015), “Price Stickiness: Empirical Evidence of the Menu Cost Channel,” Review of Economics and Statistics, 97 (4), 813-826.

Jaimovich, Nir, Martin Gervais, Yaniv Yedid-Levi, and Henry Siu (February 2015), “Technological Learning and Labor Market Dynamics,” International Economic Review 56 (1), 27-53.

Kendall, Chad, Tommaso Nannicini and Francesco Trebbi (2015), “How do Voters Respond to Information: Evidence from a Randomized Campaign,” American Economic Review 105 (1), 322-53.

Linnainmaa, Juhani, Ray Ball, Joseph Gerakos and Valeri Nikolaev (2015), “Deflating profitability,” Journal of Financial Economics 117 (2), 225–248. Lead article.

Marino, Anthony (August 2015), “Work Environment and Moral Hazard,” The Journal of Regulatory Economics XLVIII, 53-73.

Rozo, Sandra V., Yuri Soares, Verónica González and Carlos Morales (2015), “Creating New Opportunities for Rural Producers: Impact Evaluation of a Pilot Program,” Journal of Drug Policy Analysis 8 (1), 1-46.

Solomon, David H. and Eugene Soltes (May 2015), “What Are We Meeting For? The Consequences of Private Meetings with Investors,” Journal of Law and Economics 58 (2), 325-355. Winner, Best Paper Award, Financial Research Association Conference 2012.

Wang, Yongxiang and Ray Fisman (2015), “The mortality cost of political connections,” Review of Economic Studies.

Wang, Yongxiang and Ray Fisman (2015), “Corruption in Chinese privatizations,” Journal of Law, Economics and Organization.

Wu, Yanhui (2015), “Organizational Structure and Product Choice in Knowledge Intensive Firms,” Management Science 61(8), 1830-1848.

Zapatero, Fernando and C. Coskun (2015), “Optimal Acquisition of a Partially Hedgeable House,” Mathematics and Financial Economics 9, 123-147.

Zhang, Miao Ben, Eric Chang and Dragon Tang (2015), “Suitability Check and Household Investments in Structured Products,” Journal of Financial and Quantitative Analysis 50(3), 597-622.

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Ahern, Kenneth R., Ran Duchin and Tyler Shumway (2014), “Peer Effects in Risk Aversion and Trust,” Review of Financial Studies 27(11), 3213-3240.

Ahern, Kenneth R. (2014), “Do Common Stocks Have Perfect Substitutes? Product Market Competition and the Elasticity of Demand for Stocks,” Review of Economics and Statistics 96(4), 756-766.

Ahern, Kenneth R. and Jarrad Harford (2014), “The Importance of Industry Links in Merger Waves,” Journal of Finance 69(2), 527-576.

Ahern, Kenneth R. and Denis Sosyura (2014), “Who Writes the News? Corporate Press Releases During Merger Negotiations,” Journal of Finance 69(1), 241-291.

Chang, Tom and Tal Gross, “How Many Pears Would a Pear Packer Pack if a Pear Packer Could Pack Pears at Quasi-Exogenously Varying Piece Rates?,” Journal of Economic Behavior & Organization 99. Lead article.

Ferson, Wayne E. and Jerchern Lin (2014), “Alpha and Performance Measurement: The Effects of Investor Disagreement and Heterogeneity,” Journal of Finance 69 (4), 1565-1596.

Ferson, Wayne E., Biqin Xie and Suresh Nallareddy (2013), “The 'out-of-sample' Performance of Long-run Risk Models,” Journal of Financial Economics 107 (3), 537-556, was summarized in Finance and Accounting Memos (2014), volume 1 (1), 106-108.

Fields, C. Kerry and Kevin C. Fields (2014), Contemporary Real Estate Law 1st edition, Wolters Kluwer. ISBN 978-1-4548-1642-3.

Frydman, Cary, Nicholas Barberis, Colin Camerer, Peter Bossaerts and Antonio Rangel (2014), “Using Neural Data to Test a Theory of Investor Behavior: An Application to Realization Utility,” Journal of Finance 69, 907-946.

Frydman, Cary, Peter Bossaerts, and John Ledyard (2014), “The Speed of Information Revelation and Eventual Price Quality in Markets with Insiders: Comparing Two Theories,” Review of Finance 18, 1-22. Lead Article. Awarded 2014 Pagano and Zechner Prize for best non-investments paper in Review of Finance.

Frydman, Cary and Antonio Rangel (2014), “Debiasing the Disposition Effect by Reducing the Saliency of Information about a Stock’s Purchase Price,” Journal of Economic Behavior and Organization 107B, 541-552.

Hoberg, Gerard, Gordon Phillips and Nagpurnanand Prabhala (February 2014), “Product Market Threats, Payouts, and Financial Flexibility,” Journal of Finance 69 (1), 293-324.

İmrohoroğlu, Ayşe and Şelale Tüzel (August 2014), “Firm Level Productivity, Risk, and Return,” Management Science 60, 2073-2090.

İmrohoroğlu, Ayşe, Selahattin İmrohoroğlu and Murat Üngör (July 2014), “Agricultural Productivity and Growth in Turkey,” Macroeconomic Dynamics, 18 (5), 998-1017.

Joslin, Scott, Marcel Priebsch and Kenneth Singleton (June 2014), “Risk Premiums in Dynamic Term Structure Models with Unspanned Macro Risk,” Journal of Finance 69 (3).

Korteweg, Arthur, Johannes, M., and N. Polson, (2014), “Sequential Learning, Predictability, and Optimal Portfolio Returns,” Journal of Finance 69 (2), 611-644.

Marino, Anthony (March 2014), “Transparency in Agency: The Constant Elasticity Case and Extensions,” International Journal of Industrial Organization XXXIII, 9-21.

Marino, Anthony and Oguzhan Özbaş (September, 2014), “Disclosure of Status in an Agency Setting,” Journal of Economic Behavior and Organization 105, 191-207.

Solomon, David H., Eugene Soltes and Denis Sosyura (July 2014), “Winners in the Spotlight: Media Coverage of Fund Holdings as a Driver of Flows,” Journal of Financial Economics 113 (1), 53-72.

Wang, Yongxiang, Ray Fisman and Hamao Yasushi (2014), “Nationalism and economic exchange: Evidence from shocks to Sino-Japanese relations,” Review of Financial Studies.

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