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Trade Shocks and Credit Reallocation

By Stefano Federico, Fadi Hassan, and Veronica Rappoport

American Economic Review, April 2025

This paper identifies a credit-supply contraction that arises endogenously after trade liberalization. Banks with loan portfolios concentrated in sectors exposed to competition from China face an increase in nonperforming loans after China's entry into th...

Weighted Linear Discrete Choice

By Christopher P. Chambers, Yusufcan Masatlioglu, Paulo Natenzon, and Collin Raymond

American Economic Review, April 2025

We introduce a new model of stochastic choice that assigns each choice option a utility, along with a salience parameter reflecting economic frictions. We characterize our model behaviorally and investigate its comparative statics properties. We show that...

Fighting Climate Change: International Attitudes toward Climate Policies

By Antoine Dechezleprêtre, Adrien Fabre, Tobias Kruse, Bluebery Planterose, Ana Sanchez Chico, and Stefanie Stantcheva

American Economic Review, April 2025

This paper explores global perceptions and understanding of climate change and policies, examining factors that influence support for climate action and the impact of different types of information. We conduct large-scale surveys with 40,000 respondents f...