Using comprehensive regulatory intensity metrics from 1993 to 2019, we document that increased regulatory burden significantly reduces stock liquidity in U.S. public firms. To establish causality, we exploit exogenous variation in regulatory intensity following state ruling party changes. This identification strategy confirms that the negative relationship is causal rather than merely correlational. Our analysis reveals that information asymmetry serves as the primary mechanism, as regulatory intensity increases uncertainty about firms’ future operations, exacerbating information asymmetry between investors and companies. The liquidity deterioration is particularly pronounced for firms with higher investment irreversibility, greater financial constraints, and those without government customers. These findings contribute to understanding how regulatory burdens affect market functioning.

This paper investigates the long-term impacts of China’s nationwide public health campaigns targeting malaria, measles, and meningitis between the 1960s and 1980s. Exploiting regional variation in precampaign disease prevalence across birth cohorts, we show that these interventions generated sizable improvements in education, cognition, health, and income. As an illustrative case, individuals from high-malaria regions who were fully exposed to the eradication campaign attained about 0.5 additional years of schooling and earned over 10% higher income in adulthood, with cognitive and schooling gains explaining a substantial share of the income effects. Extending the same approach to measles and meningitis vaccination campaigns reveals comparably large benefits, with internal rates of return ranging from 21% to 34%. Together, these findings highlight the lasting socioeconomic returns to early-life health interventions and underscore the role of public health as a foundation for human capital accumulation and long-run economic growth.