Linearity-generating” processes offer a tractable procedure to model cash-flows and pricing kernels in a way that yields exact closed form expressions for bond and stock prices. Prices are simply affine (not exponential-affine) in the factors. The linearity-generating class operates in discrete and continuous time with an arbitrary number of factors. This paper presents novel and general regula...

This paper empirically investigates the impact of macroeconomic uncertainty on the spreads of credit default swaps (CDS). While existing literature acknowledges the importance of the levels of macroeconomic factors in determining CDS spreads, we show that the second moments of these factors—macroeconomic uncertainty—predict CDS spreads even in the presence of traditional macroeconomic factors s...

Stackelberg-like games show a situation where there is a clear advantage in moving …rst. In a thought provoking article, Bagwell (1995) shows that this advantage may not be robust against imperfect observations of the …rst move. We explore these ideas in the context of forward induction in three classic games, namely, the outside option game, the game of burning a dollar before the battle of th...

Tissue factor (TF), apart from activating the extrinsic pathway of the blood coagulation, is a principal regulator of embryonic and oncogenic angiogenesis, inflammation, leukocyte reverse transmigration, and tumor progression. It has become clear that these events are mediated by intracellular signal transduction elicited by TF/factor VIIa (FVIIa) interaction, but the details of this signaling ...

We have selected an HXB2 variant which can replicate in the presence of a neutralizing human serum. Sequencing of the gp120 region of the env gene from the variant and parental viruses identified a single amino acid substitution in the third conserved region of gp120 at residue 375 (AGT-->AAT, Ser-->Asn; designated 375 S/N). The escape mutant was found to be resistant to neutralization by solub...