5 papers
The Effects of Innovation on Foreign Portfolio Investment: The Role of Institutions and Risk-Taking
Yimin Wu, Tomoo Kikuchi
We study whether and how innovation intensity attracts foreign portfolio investment (FPI) using a panel of 60 countries from 1996 to 2021. Using an instrumental variable strategy b…
How Innovation Shapes Financial Structure: The Moderating Role of Institutional Quality
Yimin Wu, Tomoo Kikuchi
This paper studies how the stock market---relative to the banking sector---responds to innovation by using a panel of 75 countries from 1982 to 2021. Our baseline result is that in…
Pecuniary Externality, Ideology and Sphere of Influence
Tomoo Kikuchi, Shuige Liu, Lien Pham
We build a game-theoretic model to formalize Kindleberger's (1996) idea of the public good of leadership. Two superpowers use ideology to compete for influence by forming clubs who…
Trade Networks and the Rise of a Dominant Currency
Tomoo Kikuchi, Lien Pham
We develop a model where currency issuers provide liquidity, while users in a trade network choose currency usage for trade settlement. We identify a feedback mechanism where a use…
Singapore's Role for ASEAN's Portfolio Investment
Tomoo Kikuchi, Satoshi Tobe
We investigate the elasticity of portfolio investment of ASEAN and OECD members to geographical distance in a gravity model utilizing a bilateral panel of 86 reporting and 241 coun…