Erica X.N. Li

About Me

Erica X.N. Li is a Professor of Finance at Cheung Kong Graduate School of Business. Professor Li holds a Ph.D. in Finance with a minor in Macroeconomics from the University of Rochester and a Ph.D. in Physics from the University of Massachusetts, Amherst. She also holds bachelor's degrees in Physics and Economics from Peking University.

Professor Li has taught in a variety of topics in Finance at undergraduate, MBA, executive MBA level in US and China. Her research covers topics such as stock return anomalies, structural estimation of dynamic models, effects of financial friction on corporate policies, and the effects of monetary and fiscal policies on asset prices. She serves as the associate editor of the International Review of Finance and of the Quarterly Journal of Economics and Management.

For more information, please get in touch with me at: xnli [at] xmu [dot] edu [dot] cn

News

Publications

• Anomalies
  Erica X.N. Li, Dmitry Livdan, Lu Zhang.
  Review of Financial Studies, lead article, 22(11), 4301-4334.
  

• Nominal Rigidities, Asset Returns and Monetary Policy
  Erica X.N. Li, Francisco Palomino.
  Journal of Monetary Economics, 66, 210-225.
  

• Corporate Governance and Costs of Equity: Theory and Evidence
  Di Li, Erica X.N. Li.
  Management Science, 64(1), 83-101.
  

• Do Underwriters Compete in IPO Pricing?
  Evgeny Lyandres, Fangjian Fu, Erica X.N. Li.
  Management Science, 64(2), 925-954.
  

• Inventory Behavior and Financial Constraints: Theory and Evidence
  Sudipto Dasgupta, Erica X.N. Li, Dong Yan.
  Review of Financial Studies, 32(3), 1188-1233.
  

• The CAPM Strikes Back? An Equilibrium Model with Disasters
  Hang Bai, Kewei Hou, Howard Kung, Erica X.N. Li, Lu Zhang.
  Journal of Financial Economics, 131(2), 269-298.
  

• Macroeconomic Risks and Asset Pricing: Evidence from a Dynamic Stochastic General Equilibrium Model
  Erica X.N. Li, Haitao Li, Shujing Wang, Cindy Yu.
  Management Science, 65(8), 3449-3947.
  

• Real and Nominal Equilibrium Yield Curves
  Alex Hsu, Erica X.N. Li, Francisco Palomino.
  Management Science, 67(2), 1138-1158.
  

• Does Fiscal Policy Matter for Stock-Bond Return Correlation?
  Erica X.N. Li, Tao Zha, Ji Zhang, Hao Zhou.
  Journal of Monetary Economics, 128(2022), 20-34.
  

• The Marginal Value of Cash: Structural Estimates from a Model with Financing and Agency Frictions
  Sudipto Dasgupta, Di Li, Erica X.N. Li.
  Management Science forthcoming.
  

• Fundamental Anomalies
  Erica X.N. Li, Guoliang Ma, Shujing Wang, Cindy Yu.
  Management Science forthcoming.
  

Working papers

• Firm-Level Irreversibility
  Hang Bai, Xue Chen, Erica X.N. Li, Lu Zhang.
  Journal of Finance, Reject and resubmit
  

• Asymmetric Investment Rates
  Hang Bai, Xue Chen, Erica X.N. Li, Lu Zhang.
  

• The Impact of Securities Regulation on New Keynesian Firms
  Erica X.N. Li, Jin Xie, Ji Zhang.
  

Teaching

• Investment, 2018
• Behavioral Finance, 2016-present
• Asset Securitization, 2012-present

• Financial Management, Winter 2007, Fall 2008, Fall 2009, Fall 2010

• Mathematical Techniques in Economics, Summer quarter 2006

Media Coverage

• Professor Erica Li comments on IMF's latest 'Global Financial Stability Report'.
• La fuerte escalada de la deuda china amenaza a la economía, El Pais, 26 May 2016.
• Debt-for-equity proposal worrying bankers, Shanghai Daily, 31 Mar 2016.