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In this report, we first develop a simplified example that illustrates the importance of considering the option ``waiting to invest'' when valuing an investment. This is followed by a short description of other options that could be embedded in an investment opportunity. In order to stress the...
Persistent link: https://www.econbiz.de/10005100465
industry investment occurs earlier than socially optimal and the first entrant takes more risk than socially optimal. While …, taking the form of postponed capacity investment, may occur in Markov Perfect Equilibrium. Volatility and the expected speed …
Persistent link: https://www.econbiz.de/10005100881
The standard analysis of corporate governance is that shareholders vote in the ratios that firms choose, such as one …-share-one-vote. But if the cost of unbundling and trading votes is sufficiently low, then shareholders vote in the ratios that they …
Persistent link: https://www.econbiz.de/10005101092
Using a large sample of European firms that mandatorily adopted IFRS, this paper assesses how firm-level governance, as proxied by board attributes, and country-level enforcement interplay in affecting financial reporting quality. Financial reporting quality is assumed to have three dimensions:...
Persistent link: https://www.econbiz.de/10011183723
We develop a theoretical model in which each individual is, in some ultimate sense, motivated by purely egoistic satisfaction derived from the goods accruing to him, but there is an implicit social contract such that each performs duties for the others in a way that enhances the satisfaction of...
Persistent link: https://www.econbiz.de/10005100589
slowing down this growth is the lack of trust of potential customers. So, as transactions through the internet develop and … mature, success will largely be dependent on gaining and0501ntaining this trust. It has been suggested that the quality of … the user interface of the Web site is a determinant of the initial establishment of trust. In this article, we describe a …
Persistent link: https://www.econbiz.de/10005100662
Trust has been deemed to be critical in ensuring the efficient operation of virtual teams and organizations. This study … empirically verified ability and integrity as being antecedents of trust formation in virtual teams. However, effective team … performance was found to be independent of the formation of trust. La confiance a régulièrement été considérée comme un facteur …
Persistent link: https://www.econbiz.de/10005100676
We alter who gets the last word on the outcome in three different types of trust games: the first mover, the second …'s trust. And first and second movers pass different types of judgments when they act as a committee. Au cours de trois jeux de …
Persistent link: https://www.econbiz.de/10005100807
Transactions on online markets require a great deal of trust among anonymous trading partners. To mitigate some of the … reputation management mechanisms on the evolution of trust and trustworthiness in a repeated trust game among strangers. Les …
Persistent link: https://www.econbiz.de/10005100984
Businesses and organizations require working relationships, and working relationships require trust. Whether the … agreements with each other, our society and its economy would suffer greatly.<br><br>While trust is an integral part of …
Persistent link: https://www.econbiz.de/10008568657