Currency carry trades exploiting violations of uncovered interest rate parity in G10 currencies deliver significant excess returns with annualized Sharpe equal to or greater than those of equity market factors (19902012). Using data on out-of-the-money foreign exchange options, I compute returns to crash-hedged portfolios and demonstrate that the high returns to carry trades are not due to peso...

Polygyny rates are higher in Western Africa than in Eastern Africa. The African slave trades help explain this difference. More male slaves were exported in the trans-Atlantic slave trades from Western Africa, while more female slaves were exported in the Indian Ocean slave trades from Eastern Africa. The slave trades led to prolonged periods of abnormal sex ratios, which impacted the rates of ...

Illicit transnational flows of goods, money, information, and people – the clandestine side of globalization – have become a growing source of tension and conflict in world politics. Nevertheless, the illicit dimensions of the global economy are largely overlooked in the international political economy (IPE) literature.1 This is evident by surveying the major textbooks, readers, and journals in...

London equity dealers routinely use two trading systems to trade with one another. In one, they trade directly by phone, using the best bid and ask quotes as a basis for negotiation. In the other, they submit and consume anonymous limit-orders in electronic limit-order books. In this paper, we use unique data to examine why dealers might prefer one system over another. We consider the predictio...

This paper analyzes models of securities markets with a single strategic informed trader and competitive market makers. In one version, uninformed trades arrive as a Brownian motion and market makers see only the order imbalance, as in Kyle (1985). In the other version, uninformed trades arrive as a Poisson process and market makers see individual trades. This is similar to the Glosten–Milgrom ...