Showing 1 - 10 of 209
Despite extensive use of bargaining models in economics and despite Becker's insistence on the importance of altruism … in families, the theoretical literature on bargaining ignores altruism and assumes that everyone is an egoist. This paper … shows that incorporating altruism into cooperative bargaining models shrinks the set potential cooperative bargaining …
Persistent link: https://www.econbiz.de/10013388855
We show that supply networks are inefficiently, and insufficiently, resilient. Upstream firms can expand their production capacity to hedge against supply and demand shocks. But the social benefits of such investments are not internalized due to market power and market incompleteness. Upstream...
Persistent link: https://www.econbiz.de/10014512075
Network diffusion models are used to study things like disease transmission, information spread, and technology …
Persistent link: https://www.econbiz.de/10014512105
, and different network layers. At the individual level, homophilous tendencies are persistent across time and network … those characteristics. We also document the nuanced impact of network connections on changes in Grade Point Average …
Persistent link: https://www.econbiz.de/10013477307
thinking about such social exchanges of models. The key assumption is that people adopt the interpretation in their network … that best explains the data, given their prior beliefs. An implication is that interpretations evolve within a network. For … many network structures, social learning mutes reactions to data: the exchange of models leaves beliefs closer to priors …
Persistent link: https://www.econbiz.de/10013462690
these issues using a model of (Bayesian) learning over a social network. Agents learn rapidly from and may also have … environment changes sufficiently rapidly, any network consisting of just strong links will do only a little better than random …
Persistent link: https://www.econbiz.de/10014287315
We use the price effects caused by the passage of rent control in St. Paul, Minnesota in 2021, to study the transfer of wealth across income groups. First, we find that rent control caused property values to fall by 6-7%, for an aggregate loss of $1.6 billion. A calibrated model of house prices...
Persistent link: https://www.econbiz.de/10013210111
This paper investigates the importance of the age composition for pandemic policy design. To do so, it introduces an economic framework with age heterogeneity, individual choice, and incomplete information, emphasizing the value of testing. Calibrating the model to the US Covid-19 pandemic...
Persistent link: https://www.econbiz.de/10014576587
We study the interplay between a "one person-one vote" political system and a "one share-one vote" corporate governance regime. The political system sets Pigouvian subsidies, while corporate governance determines firm-specific public good investments. Our analysis highlights a two-way feedback...
Persistent link: https://www.econbiz.de/10014576634
The extent of voluntary cooperation in the presence of externalities is shown as an equilibrium outcome in the supply and demand framework. The analysis uses familiar ingredients to provide a new way of understanding the results of the extensive literature beginning with Buchanan, Coase, Ostrom,...
Persistent link: https://www.econbiz.de/10014248013