Published or Forthcoming Papers



1       Asset Bubbles and Credit Constraints, PDF, with Pengfei Wang, forthcoming in American Economic Review.


2       The Perils of Credit Booms, PDF, with Feng Dong and Pengfei Wang, forthcoming in Economic Theory.


3       Woodford's Approach to Robust Policy Analysis in a Linear-Quadratic Framework, PDF, with Hyosung Kwon, forthcoming Macroeconomic Dynamics.

4       Three Types of Robust Ramsey Problem in a Linear-Quadratic Framework, with Hyosung Kwon, Journal of Economic Dynamics and Control 76 (2017) 211-231.

5       Robust Contracts in Continuous Time, PDF, with Alejandro Rivera, Forthcoming in Econometrica. Online Appendix

6       Land Prices and Unemployment, with Zheng Liu and Tao Zha, PDF, Forthcoming in Journal of Monetary Economics. Online Appendix

7       Introduction to Economic Theory of Bubbles II, PDF, Journal of Mathematical Economics 65 (2016) 139-140.

8       Introduction to the Symposium on Bubbles, Multiple Equilibria, and Economic Activities, PDF, Economic Theory 61 (2016) 207-214.

9       Stock Market Bubbles and Unemployment, PDF, with Pengfei Wang and Lifang Xu, Economic Theory 61 (2016) 273-307.

10    Chaotic Banking Crises and Banking Regulations, PDF, with Jess Benhabib and Pengfei Wang, Economic Theory 61 (2016) 393-422.


11    Asset Bubbles, Collateral, and Policy Analysis, PDF, with Pengfei Wang and Jing Zhou, Journal of Monetary Economics 76 (2015) S57-S70.  Online Appendix

12    A Bayesian DSGE Model of Stock Market Bubbles and Business Cycles, with Pengfei Wang and Zhiwei Xu Quantitative Economics 6 (2015) 599-635. Supplementary Appendix

13    Banking Bubbles and Financial Crises, with Pengfei Wang, Journal of Economic Theory 157 (2015), 763-792. Online Appendix


14    Growth Uncertainty, Generalized Disappointment Aversion and Production-based Asset Pricing, PDF, with Hening Liu, Journal of Monetary Economics 69 (2015) 70-89.


15    A Duality Approach to Continuous-Time Contracting Problems with Limited Commitment, PDF, with Yuzhe Zhang, Journal of Economic Theory 159 (2015) 929-988.


16    Introduction to Economic Theory of Bubbles, Journal of Mathematical Economics 53 (2014), 130-136.


17  Sectoral Bubbles, Misallocation, and Endogenous Growth, with Pengfei Wang, Journal of Mathematical Economics 53 (2014), 153-163.


18  Dynamic Asset Allocation with Ambiguous Return Predictability, with Hui Chen and Nengjiu Ju, Review of Economic Dynamics 17 (2014), 799-823. (Best paper in 2009 CICF)


19    A Q-Theory Model with Lumpy Investment, with Pengfei Wang, Economic Theory 57 (2014), 133-159.


20    Lumpy Investment and Corporate Tax Policy, with Pengfei Wang, Journal of Money, Credit and Banking 46 (2014), 1171-1203.


21    Numerical Simulation of Nonoptimal Dynamic Equilibrium Models, with Zhigang Feng, Adrian Peralta-Alva, and Manuel Santos, International Economic Review 55 (2014), 83-110.


22    Advance Information and Asset Prices, with Rui Albuquerque, Journal of Economic Theory 149 (2014), 236-275.  Online Appendix.


23    What Does Corporate Income Tax Tax? A Simple Model without Capital, with Larry Kotlikoff, Annals of Economics and Finance 14-1 (2013) 1-19.


24    Economic Growth under Money Illusion, with Danyang Xie, Journal of Economic Dynamics and Control 37 (2013) 84-103.


25    CEO Power, Compensation, and Governance, with Rui Albuquerque, Annals of Economics and Finance 14-1 (2013) 21-56.


26    Bubbles and Total Factor Productivity, with Pengfei Wang, American Economic Review 102 (2012), 82-87. Online Appendix.


27    The Dynamics of Mergers and Acquisitions in Oligopolistic Industries, with Dirk Hackbarth, Journal of Economic Dynamics and Control 4 (2012), 585-609.


28    Ambiguity, Learning, and Asset Returns, with Nengjiu Ju, Econometrica 80 (2012), 559-591. Supplementary Material


29    The Determinants and Dynamic Properties of China’s Urban Housing Prices, Investment Research 7 (2011), 2-13. (in Chinese)


30    Intertemporal Substitution and Recursive Smooth Ambiguity Preferences, with Takashi Hayashi, Theoretical Economics 6 (2011), 423-472.


31    Risk, Uncertainty, and Option Exercise, with Neng Wang, Journal of Economic Dynamics and Control 35 (2011), 442-461.


32    Transitional Dynamics of Dividend and Capital Gains Tax Cuts, with Francois Gourio, Review of Economic Dynamics 14 (2011), 368-383. This is a substantial overhaul of the old version:  “Dynamic Effects of Permanent and Temporary Dividend Tax Policies on Corporate Investment and Financial Policies,” PDF. Media: The Fiscal Times,  The Washington Post


33    Firm Heterogeneity and the Long-Run Effects of Dividend Tax Reform, with Francois Gouriro, American Economic Journal: Macroeconomics 2:1 (2010), 131-168.


34    Entrepreneurial Finance and Non-Diversifiable Risk, with Hui Chen and Neng Wang, Review of Financial Studies 23 (2010), 4348-4388.


35    Ambiguity, Risk and Portfolio Choice under Incomplete Information, Annals of Economics and Finance, 10 (2009) 257-279.


36    Option Exercise with Temptation, Economic Theory 34 (2008), 473-501.


37    Investment, Consumption and Hedging under Incomplete Markets, with Neng Wang, Journal of Financial Economics 86 (2007), 608-642.


38    Capital Structure, Credit Risk, and Macroeconomic Conditions, with Dirk Hackbarth, and Erwan Morellec, Journal of Financial Economics 82 (2006), 519-550.


39    A Search Model of Centralized and Decentralized Trade, Review of Economic Dynamics 9 (2006), 68-92.


40    Competitive Equilibria of Economies with a Continuum of Consumers and Aggregate Shocks, Journal of Economic Theory 128 (2006), 274-298.


41    Irreversible Investment with Regime Shifts, with Xin Guo and Erwan Morellec, Journal of Economic Theory 122 (2005), 37-59.


42    Optimal Capital Structure and Industry Dynamics, Journal of Finance 6 (2005), 2621-2659.


43    Informed Trading when Information Becomes Stale, with Dan Benhardt, Journal of Finance 59 (2004), 339-390.


44    A Note on Consumption and Savings Under Knightian Uncertainty, Annals of Economics and Finance 5 (2004) 299-311.


45    A Two-Person Dynamic Equilibrium under Ambiguity, with Larry Epstein, Journal of Economic Dynamics and Control 27 (2003) 1253-1288.