The inefficient pricing of news
The main obstacle to market efficiency is whether investors can read, process, and quickly extract genuinely new information from articles. This column uses large language
Financial stability in the age of artificial intelligence: The role of algorithmic architecture
Artificial intelligence is rapidly transforming financial decision-making. This column explores the implications for financial stability using simulation-based experiments on two different AI architectures. Q-learning algorithms,
Dollar rises but still not far from pre-war levels, data awaited
Given the likelihood of elevated inflation readings, the CPI on Tuesday and PPI on Wednesday. The U.S. dollar extended gains for a second straight session
Why liquidity evaporates when it is most needed
A common feature of flash crash episodes in financial markets is that liquidity vanishes precisely when it is most needed. This column argues that this
The non-fungible token bubble: What investors actually earned
The non-fungible token market exploded in 2021, but by late 2022 prices had collapsed. This column uses blockchain records for two major non-fungible token platforms
Elevating the knowledge agenda for women entrepreneurs to boost jobs, growth, and access to finance
Women entrepreneurs represent a powerful yet largely untapped source of job creation and economic growth. Removing barriers faced by women entrepreneurs would significantly boost economic growth,
Mapping the contours of Chinese policy transmission at home and abroad
China’s place within international trade networks and global supply chains makes the propagation of Chinese shocks a global phenomenon. This column discusses the channels of
The future is under the glass
Digital design increasingly confers a competitive edge in global tech markets. This column examines how the award to Apple of damages for, among other things,
Showing up in the Alps: The economic value of Davos
Attending the World Economic Forum in Davos is costly, with estimates ranging between $20,000 and $70,000 per delegate. This column uses data on attendees from
The limited effects of regulating greenwashing: Evidence from Europe’s Sustainable Finance Disclosure Regulation
Disclosure-based regulation is often seen as a low-cost way to address greenwashing. This column uses European mutual fund data to assess the impact of the
