Business & Public Policy

While the long-term economic consequences of the pandemic are unclear, we do know that many small businesses are struggling, particularly vulnerable because of how they’re financed — especially minority-owned small businesses, which are more likely to be denied loans and pay higher interest rates. How to boost their chances? Shorter pay terms.

Does fiscal stimulus raise interest rates and tighten credit markets, as theoretical models of the macroeconmy predict? New research shows what the real effect of government spending is on the U.S. economy — and what high levels of inequality have to do with the interest rate response to fiscal stimulus.

Businesses large and small are in a fight for survival as the coronavirus pandemic brings economic activity to a near complete standstill. Professor Greg Fairchild provides insights on what small businesses can do to survive months of lost revenues amid mounting costs and what they can do now to thrive in whatever the "new normal" for commerce.

What drives household consumption? Standard theories of consumer behavior may not fully account for a major driver of spending (or not spending). Professor Dan Murphy and colleagues have a new model to help us understand consumption choices and the broader effects of policymakers’ attempts to stimulate the economy.

Minority-owned banks offer a valuable function in providing equitable support to minority communities and small-businesses. While they receive some government benefits, they also receive criticism for the support and a perception they’re “risky.” Is that criticism founded? Research analyzes actual outputs and inputs.

Mandated by the Constitution, the U.S. Census Bureau counts the nation’s residents every 10 years. The data determine seats in the House and federal funds for local communities, as well as inform practical research. Examples from Darden: studies on poverty and race, allocation of opportunity zones, and the effect of technology on rich and poor.

From the Civil War and Reconstruction to Martin Luther King Jr. and Richard Nixon to Jay-Z and Killer Mike: Darden experts discuss the history of minority depository institutions, the integral service they provide diverse communities and the challenges that still exist.

What can railroad bonds from 150 years ago teach us about globalization, portfolio diversification and the cost of financial market segmentation? At a time when markets are increasingly isolated globally and limit opportunities to invest abroad, new research examines what investors are willing to pay to gain access to investment in foreign markets

High student loan debt has a lingering psychological effect and changes price sensitivity — and spending habits — those with much debt become numb to the prodigious numbers they face on the balance sheet and tend to spend even more. Here’s how regulatory changes can help them face the numbers and keep them from getting insurmountable.

After misstating earnings, which companies come clean? In the aftermath of major corporate scandal, Professor Justin Hopkins takes stock of employee stock option misreporting, disincentives to investigate misbehavior and constraints to integrity.