The focus of this study is on black markets which provide an important segment of the parallel economy. These markets operate in disequilibrium,search and information costs become very important.Trafficking in drugs taken as case, to explore both theoretically and empirically. The problem,...

We develop a game-theoretic model to study the subscription choices of subscribers with diverse ideological perspectives between two opposing news media (intermediaries) who are motivated to influence the public opinion through their roles of news verification and selective disclosure. The...

We introduce a model of homophily that does not rely on the assumption of homophilous preferences. Rather, it builds on the dual process account of Theory of Mind in psychology which focuses on the role of introspection in decision making. Homophily emerges because players find it easier to put...

In this paper we first analyze the actual voting results in the 2016 Henryk Wieniawski International Violin Competition in which the Borda count was adopted to determine the final ranking of contestants. We show that some jurors are suspected of having exploited a weakness in the method to...

This paper introduces excluding outlier voters (EOV) as a general mechanism for revealing true preferences in social choices, and for discouraging voters from strategic voting and manipula-tion. This mechanism is general in that it can be implemented with any voting system. The paper...

This paper investigates empirically the relationship between inflation, inflation volatility and output growth in the case of México using monthly data over the period 1993-2011. Specifically a bivariate GARCH-M model is estimated to test the hypotheses that inflation rates are directly related...

This paper investigates empirically the relationship between inflation, inflation volatility and output growth in the case of México using monthly data over the period 1993-2011. Specifically a bivariate GARCH-M model is estimated to test the hypotheses that inflation rates are directly related...

We develop a model of information exchange through communication and investigate its implications for information aggregation in large societies. An \textit{underlying state} determines payoffs from different actions. Agents decide which others to form a costly \textit{communication link} with,...

The paper presents an analyze of the complex factors that influence the development of both the communications and information systems and the knowledge based society, in order to optimize this complicate process. After the analyze of specific loop links between the two technical and human...

As the information relative to endowments, costs and preferences is dispersed among many agents, the quality of resource allocation depends on the ability of markets to communicate information inside the economic system. Because information is transferred through negotiation and transaction...