|
|
|
Sort Order |
|
|
|
Items / Page
|
|
|
|
|
|
|
| Srl | Item |
| 1 |
ID:
193758
|
|
|
|
|
| Summary/Abstract |
In a two-country DSGE model tailored to the U.S. and China, we examine the macroeconomic impacts of financial frictions and entrepreneurial risk shocks, which characterize the cross-sectional dispersion of idiosyncratic entrepreneurial productivity. We identify the transmission channels for significant financial acceleration, analyze financial acceleration asymmetry, and investigate international financial acceleration. Our main findings are as follows. The estimated monitoring cost for China is significantly larger than that for the U.S. Output, investment, and loans exhibit significant financial acceleration effects triggered by shocks to domestic entrepreneurial risk, investment, and technology. In comparison with the U.S., China’s output and investment display larger financial acceleration effects induced by domestic entrepreneurial risk shocks. The financial acceleration effects of foreign entrepreneurial risk shocks on the domestic economy are insignificant. Domestic financial acceleration effects on output and investment induced by shocks to investment and technology are significantly more pronounced during the U.S.-China trade conflict periods. Domestic entrepreneurial risk shocks, which contribute substantially to economic downturns, explain about 11.2
and 12.3
of forecast error variances in output of the U.S. and China, respectively.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| 2 |
ID:
191210
|
|
|
|
|
| Summary/Abstract |
This paper investigates the impact of eight new energy vehicle (NEV) policies in China from 2016 to 2021 on the stock indices of its 10 major up-, mid-, and downstream sectors. Contagion tests based on changes in either individual linear/asymmetric or joint asymmetric dependence are applied to identify how policy shocks affect relevant sectors. These tests are also used to measure the extent to which policy is important in driving the policy shocks by measuring the sensitivity index of policy announcements and using network analysis. The empirical results show that China's NEV policies, including financial subsidies, tax exemption, dual credit schemes, and long-term development plan and management notice, have significant effects on its main industry chains and affiliated sectors through linear and joint asymmetric dependence channels. Of the eight policies, the long-term development plan and financial subsidies are found to be the most effective instruments in driving policy contagion more through asymmetric dependence than linear dependence channels, while tax incentives and management notices have the least effect. The up-, mid-, and downstream sectors of NEVs are more affected by NEV policy shocks than their affiliated sectors.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|