For many households, paying lower borrowing costs is the surest, fastest way to increase net worth. Using administrative, credit bureau and survey data on U.S. credit cards, we find pervasive and systematic cross-individual variation in borrowing costs. Credit risk and product differentiation explain about one-third of that variation. The remaining riskadjusted dispersion can materially affect ...

We investigate how the retailer adjusts optimal ordering policy in the presence of cap-and-trade system and trade credit, and the corresponding changes of the retailer’s total costs and carbon footprint. Trade credit is one of the most used short-term financing tools. Our study shows that carbon emissions trading will shorten the ordering cycle for products that emit more carbon dioxide during ...

Learning from experience involves three distinct components — generating behavior, assigning credit, and modifying behavior. We discuss these components in the context of learning search heuristics, along with the types of learning that can occur. We then focus on SAGE, a system that improves its search strategies with practice. The program is implemented as a production system, and learns by c...

Peer-to-peer lending platforms such as Prosper Marketplace facilitate lending by matching potential borrowers with potential lenders using an auction mechanism. Borrowers can post loan requests and lenders can bid on a request specifying a minimum interest rate and an amount they are willing to lend. In this paper we analyze the impact of social information on the interest rate of funded loans ...

According to the financial accelerator model, a small monetary or other shock is amplified through credit market restrictions on small firms, and swings in balance sheets over the business cycle cause swings in small firms’ spending. This paper incorporates these notions in an empirical model of firm behavior. We use unit transaction cost of debt and rationed credit as indicators of balance she...

In this paper, we extend the debate concerning Credit Default Swap valuation to include time varying correlation and co-variances. Traditional multi-variate techniques treat the correlations between covariates as constant over time; however, this view is not supported by the data. Secondly, since financial data does not follow a normal distribution because of its heavy tails, modeling the data ...

This paper explores the relationship between consumer credit clients’ pay back performance and some demographic and financial variables (age, income, sex, interest rate, loan size and etc.). There are basically six functional associated with credit lending activities of banks in general: (1) assessment of the customers credit risk; (2) making the credit granting decision; (3) collecting debts; ...

Modern marketing science says that in business, it is always necessary to satisfy the needs of consumers get desired profit. Decisions based on hypotheses about consumer behavior have a higher probability success than decisions solely managers' intuition. Within scope article, general perception theory, analysis credit Vietnamese consumers, and development Vietnam's market, author proposes some...

In naturalistic multi-cue and multi-step learning tasks, where outcomes of behavior are delayed in time, discovering which choices are responsible for rewards can present a challenge, known as the credit assignment problem. In this review, I summarize recent work that highlighted a critical role for the prefrontal cortex (PFC) in assigning credit where it is due in tasks where only a few of the...