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The Role of Punctuation in the P2P Lending Market

Xiao Chen, Bihong Huang, Dezhu Ye, Apr 04, 2018

Using data from Renrendai, one of the largest P2P lending platforms in China, we investigate how the amount of punctuation used in loan descriptions influences the funding probability, borrowing rate, and default. The empirical evidence shows that the amount of punctuation is negatively associated with the funding probability and borrowing rate. We propose that the usage of punctuation affects the readability of a loan description and reflects borrowers’ self-control and cognitive ability.

E-Commerce Integration and Economic Development: Evidence from China

Victor Couture, Benjamin Faber, Yizhen Gu, Lizhi Liu, Apr 11, 2018

In our recent work (Couture et al., 2018), we combine an experiment that we implement across Chinese villages with a new collection of survey and administrative microdata to provide evidence on the potential of e-commerce integration to foster economic development in the countryside. We also explore the underlying channels and the distribution of the gains from e-commerce across households and villages.

Pushing on a String: State-Owned Enterprises and Monetary Policy Transmission in China

Peter Tillmann, Hongyi Chen, Apr 18, 2018

In China, a large share of enterprises is state-owned and has preferential access to finances. This should affect the way the economy responds to changes in monetary policy. We find that a policy easing is more effective than a policy tightening – which is consistent with the PBC being able to “push on a string”.