RCFS News

              As migration across countries and continents has continued to rise, societies must ask whether these new members of their communities are suffering from lower access to finance due to a trust gap arising from cultural differences. There is ample evidence showing that cultural differences have an important effect on economic outcomes, and they do so through two different channels. First, there could be… Read More »Paper Spotlight: Culture, Lending Relationships, and the Cost of Credit

Various studies provide evidence of racial and ethnic disparities in residential mortgage lending, and show that minorities face a higher probability of being denied a mortgage and a higher cost of capital when they are approved for one. In “Racial Disparities in Mortgage Lending: New Evidence Based on Processing Time,” Bin Wei and Feng Zhao investigate a dimension about which very little is known, the time to process a loan… Read More »Paper Spotlight: Racial Disparities in Mortgage Lending: New Evidence Based on Processing Time

We are grateful to our retiring associate editors: Carola Frydman Victoria Ivashina Daniel Paravisini And we welcome our incoming associate editors: Amil Dasgupta (London School of Economics) Sabrina Howell (New York University) Rawley Heimer (Boston College) Constantine Yannelis (Chicago Booth School of Business) Ayako Yasuda (UC Davis) Alminas Zaldokas (Hong Kong University of Science and Technology) Changes are effective July 1.

            Fostering diversity implies inclusiveness and support of LGBTQ+ communities. LGBTQ+ issues have been the subject of deep and polarized debates in the wider society. Corporations, being an integral component of society, need to make important choices on this polarizing topic. It should be no surprise that the corporate world has produced examples of firms that have been open about their support to the LGBTQ+ community… Read More »Paper Spotlight: Determinants of LGBTQ+ Corporate Policies

“Equity Issuance Methods and Dilution” by Mike Burkart and Hongda Zhong “Delegated Investment Management in Alternative Assets” by Aleksandar  Andonov

              The gender pay gap is one glaring example of discrimination. Some states, though, have adopted salary history bans to limit the perpetuation of previous discrimination. In the presence of salary history bans, employers cannot request and utilize a job candidate’s previous salary information. However, such bans have a possible unintended consequence: preventing potential employers from being able to observe worker productivity—that is, blocking… Read More »Paper Spotlight: Hidden Performance: Salary History Bans and the Gender Pay Gap

RCFS Executive Editor Andrew Ellul was interviewed for the Publishing in Finance: Fireside Chats with Journal Editors webinar series. The interviewers were Lea Stern (University of Washington) and Elena Simintzi (University of North Carolina at Chapel Hill). The video is available to watch online – simply click here and scroll to May 18, 2022, Session 3.

                Wealth inequality has significantly widened in the U.S. over the last few decades. One way that wealth is built is through homeownership. Expanding homeownership among low-income and minority groups is seen as an important public policy in the U.S. to tackle the wealth gap. But how important is homeownership in tackling wealth inequality? Ashleigh Eldemire, Kimberly F. Luchtenberg, and Matthew M. Wynter… Read More »Paper Spotlight: Does Homeownership Reduce Wealth Disparities for Low-Income and Minority Households?