Disaster Lending: "Fair" Prices, but "Unfair" Access
Firm Finances and the Spread of COVID-19: Evidence from Nursing Homes
From L.A. to Boise: How Migration Has Changed During the COVID-19 Pandemic
Long-Run Labor Costs of Housing Booms and Busts
Uncovering Financial Constraints
COVID-induced Migration and Municipal Bonds.
*scheduled
- with Taylor Begley, Umit Gurun, and Amiyatosh Purnanandam.
- R&R Management Science
- Summary: We examine loan decisions in the SBA disaster loan program. We find that under risk-insensitive loan pricing – a feature present in many government programs – marginal credit quality borrowers are less likely to receive credit.
- Presentations: AFA, Red Rock, Univ. of KY, FIRS, Finance Down Under, MoFiR, Front Range, CFIC, EBCN, MFA, MD4SG
Firm Finances and the Spread of COVID-19: Evidence from Nursing Homes
- with Taylor Begley
- R&R Review of Corporate Finance Studies
- Main Figure: Impact of Medicaid Reimbursement Expansion on COVID cases
- We find firms’ financial resources play an important role in mitigating the spread of COVID-19 using data on nursing homes. Boosts to Medicaid reimbursement rates in certain states led to better outcomes at more Medicaid-reliant nursing homes.
- Presentations: ECGI Corporations and COVID19*, WFA, FIRS, Eastern Finance Association
From L.A. to Boise: How Migration Has Changed During the COVID-19 Pandemic
- with Peter Haslag.
- R&R Journal of Financial and Quantitative Analysis
- Main Figures: Map-Arrivals, Map-Departures
- Summary: We provide an initial assessment of how migration patterns have changed during the pandemic using proprietary data on 300k+ residential, interstate moves over the last four years and supplemented with representative data from the CPS. We find high income movers are moving out of large cities and are moving less for job-related reasons and more for non-work related reasons.
- Media Coverage
Long-Run Labor Costs of Housing Booms and Busts
- with Taylor Begley and Peter Haslag
- Main Figure: Relative outcome for realty entrants in "Bubble" MSAs
- Summary: We study individual labor market decisions during the house price run-up of the early 2000s using the career paths of nearly 7 million workers. We find severe negative long-run outcomes for individuals that enter realty in areas with higher non-fundamental house price growth.
- Presentations: ATL Fed/GSU Real Estate, FDU, RCFS/RAPS, Stockholm LFG, EFA
Uncovering Financial Constraints
- with Matt Linn
- Main Figures: extended coverage of our measure. Robinhood (& other retail) investors tend to favor equity constrained stocks.
- Summary: We classify firms’ financial constraints using a random forest model. We find equity issuance, investment, and institutional ownership of equity-focused, constrained firms is especially sensitive to investor sentiment. In the cross-section, institutional ownership is negatively associated with equity-related constraints. Among 1990s discount brokerage investors and Robinhood investors, the stock of equity-focused constrained firms is preferred relative to unconstrained firms.
- Extra Resources: [Data] [Internet Appendix]
- Presentations: MFA, FMA, NFA, Dolomites
COVID-induced Migration and Municipal Bonds.
- with Matthew Gustafson, Peter Haslag, and Zihan Ye
- Main Figure: Yields and Migration Shock Over Time
- Summary: We find the shift towards remote work and households' locational preferences post-COVID have impacted municipalities' cost of borrowing, credit ratings, and issuance behavior. Analyzing yield changes across the term structure, we find yield changes are largest at the 5 to 10 year horizon suggesting heightened risks in the medium-run.
- Presentations: AEA*
*scheduled