For utility maximization problems under proportional transaction costs, it hasbeen observed that the original market with transaction costs can sometimes be replacedby a frictionless shadow market that yields the same optimal strategy and utility. However,the question of whether or not this...

For an investor with constant absolute risk aversion and a long horizon, who trades in amarket with constant investment opportunities and small proportional transaction costs, weobtain explicitly the optimal investment policy, its implied welfare, liquidity premium, andtrading volume. We...

In a market with one safe and one risky asset, an investor with a long horizon, constantinvestment opportunities, and constant relative risk aversion trades with small proportionaltransaction costs. We derive explicit formulas for the optimal investment policy, its impliedwelfare, liquidity...

Recommended readings (Machine generated): Williamson, Oliver E. and Scott E. Masten (1995), Transaction Cost Economics, Volume I: Theory and Concepts and Volume II: Policy and Applications, Aldershot, UK and Brookfield, VT, USA: Edward Elgar Publishing Ltd -- Williamson, Oliver E. (1985), 'The...

Martin Ricketts, a leading scholar in this field, has selected the seminal papers from a variety of traditions that illustrate the evolution of thinking on 'the firm' over a considerable period of time. The firm as a vehicle for entrepreneurial initiative and the exercise of business judgement...

C. Fred Bergsten (1997), 'Open Regionalism', World Economy, 20 (5), 545-65 -- Gerard McLinden (2006), 'Needs, Priorities and Costs Associated with Technical Assistance and Capacity Building for Implementation of a WTO Trade Facilitation Agreement: A Comparative Study Based on Six Developing...

"This timely book is an innovative look at how blockchain technology will transform the structure of social and economic life. The security of blockchain supports the provision and maintenance of reliable databases and the creation of rule-based governance protocols. Leading contributors...

The Economics of the Mind addresses economics from the perspective of real men and women: how they assess things, decide and act. It looks at the choices we make, and calls for the assumptions which make up the foundations of economic theory to be consistent with the mechanisms which guide the...

Conventional economic analysis of property rights in natural resources is too narrow and restrictive to allow for effective comparisons between alternative institutional structures. In this book, a conceptual framework is developed for the analysis of these structures with illustrative...

This seminal work advances beyond neoclassical economics to provide an integrated overview of economic decision making, and the management of bounded rationality and its evolutionary consequences. Clem Tisdell successfully combines recent developments in learning and game theory, transaction...