In the early 2000s, many developing countries in Eastern Europe, Latin America and Asia presented substantial corporate dollar debts. This paper suggests an explanation for this worrisome phenomenon, which builds on the traditional signaling approach. The model brings into the picture specific...

This paper analyzes the effect of stricter sanctions against fraudulent disclosure in an economy where commercial lenders have only an imperfect information about the type of the firm they trade with. In the hybrid Bayesian equilibrium, some managers running fragile firms claim that their firm...

This paper develops a simple model of the market for academic publications in business and economics. The supply of papers is presented as the outcome of a game between researchers and schools' deans under imperfect information about the quality of a given paper. The demand for papers brings...

This paper provides a dynamic analysis of the market for academic publications. Given imperfect information about journals' editorial line, authors can sometimes target a wrong journal; in turn, the editor will desk-reject their paper. An equilibrium is defined as a situation where both editors...

Voucher privatization implies a significant wealth transfer from state to private agents who, in turn, would increase consumption. This paper investigates the consequences of this wealth effect on the macroeconomic equilibrium in a high unemployment economy. The model builds on a two-stage...