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A sender can influence the behavior of a receiver by controlling the informativeness of a public signal. We show that the sender cannot benefit from becoming an expert, that is, from privately learning some information about the state. We then show that in some instances an uninformed sender is...
Persistent link: https://www.econbiz.de/10011126502
We study contractual arrangements that support an efficient use of time in a knowledge-intensive economy in which agents endogenously specialize in either production or consulting. The resulting market for advice is plagued by informational problems, since both the difficulty of the questions...
Persistent link: https://www.econbiz.de/10011126635
This paper provides evidence that managers adjust firm advertising, in part, to attract investor attention and … influence short-term stock returns. First, I show that increased advertising spending is associated with a contemporaneous rise … increase in advertising spending prior to insider sales, and a significant decrease in the subsequent year. Additional analyses …
Persistent link: https://www.econbiz.de/10010745567
increased. The importance of these commercial pressures is analysed. Do children understand advertising? How is child poverty …
Persistent link: https://www.econbiz.de/10010746144
In this paper we consider a two-stage duopoly game where firms first decide whether to invest in advertising and then … compete in prices. Advertising has two effects: a market enlargement for both firms and a predatory gain for the investing … investment in advertising and that strong product substitutability may induce a coordination problem. …
Persistent link: https://www.econbiz.de/10011071103