This paper analyses the relationship between the size of jurisdictions and the degree of redistribution. A simple political economy model with cross-border shopping and limited and impure altruism is developed in order to study how the size of jurisdictions affects both the cost of...

Anticipation of technological progress may induce potential buyers to delay adoption of a new product. We analyze how buyers' waiting option can alter firms' innovation strategies. It is shown that the firms' choice of innovation strategies relies on the possibility of selling products before...

Two jurisdictions compete to capture the rents of a large multinational enterprise (MNE) which invests locally and which is partly owned by local investors. The MNE contributes to local welfare by tax payments and dividends and it has private information about the efficiency of the operations in...