Narrow search
Showing 1 - 10 of 135
Cover Image
Consumers Networks and Search Equilibria
Galeotti, Andrea - Tinbergen Institute - 2004
I examine a search model a la' Burdett and Judd (1983). Consumers are embedded in a consumers network, they may costly search for price quotations and the information gathered are non-excludable along direct links. This allows me to explore the effect of endogenous consumers externalities on...
Persistent link: https://www.econbiz.de/10005504914
Cover Image
Equilibrium Selection in Cheap Talk Games: ACDC rocks when Other Criteria remain silent
Ruiz, Adrian de Groot; Offerman, Theo; Onderstal, Sander - Tinbergen Institute - 2011
Currently no refinement exists that successfully selects equilibria across a wider range of Cheap Talk games. We propose a generalization of refinements based on credible deviations, such as neologism proofness and announcement proofness. According to our Average Credible Deviation Criterion...
Persistent link: https://www.econbiz.de/10008838631
Cover Image
More Hedging Instruments may destablize Markets
Brock, William; Hommes, Cars; Wagener, Florian - Tinbergen Institute - 2006
This paper formalizes the idea that more hedging instruments may destabilize markets when traders are heterogeneous and adapt their behavior according to experience based reinforcement learning. We investigate three different economic settings, a simple mean-variance asset pricing model, a...
Persistent link: https://www.econbiz.de/10005795568
Cover Image
The Economic Value of Flexibility when there is Disagreement
Boot, Arnoud W.A.; Thakor, Anjan V. - Tinbergen Institute - 2003
We develop an economic theory of “flexibility”, which we interpret as the discretion or ability to make a decision that …
Persistent link: https://www.econbiz.de/10005137042
Cover Image
Disagreement and Flexibility: A Theory of Optimal Security Issuance and Capital Structure
Boot, Arnoud W.A.; Thakor, Anjan V. - Tinbergen Institute - 2003
-issuance choices. The strongest implication of this theory of capital structure evolution is that optimal capital structure is … when stock prices are low. The theory explains many stylized facts that fly in the face of existing capital structure … theories and also generates new testable predictions. Moreover, the theory can rationalize the use of debt in the absence of …
Persistent link: https://www.econbiz.de/10005137258
Cover Image
Go Public or Stay Private: A Theory of Entrepreneurial Choice
Boot, Arnoud W.A.; Gopalan, Radhakrishnan; Thakor, Anjan V. - Tinbergen Institute - 2003
In this paper we analyze an entrepreneur /manager's choice between private and public ownership in a setting in which management needs some "elbow room" or autonomy to optimally manage the firm. In public capital markets, the corporate governance regime in place exposes the firm to exogenous...
Persistent link: https://www.econbiz.de/10005504882
Cover Image
Alternating Offers in Economic Environments
Houba, Harold - Tinbergen Institute
The Nash bargaining solution of a modified bargaining problem in the contract space yields the pair of stationary subgame perfect equilibrium proposals in the alternating offers model, also for positive time between proposals. As time vanishes, convergence to the Nash bargaining solution is...
Persistent link: https://www.econbiz.de/10005209433
Cover Image
A Behavioral Model for Participation Games with Negative Feedback
Dindo, Pietro; Tuinstra, Jan - Tinbergen Institute - 2006
We study participation games with negative feedback, i.e. games where players choose either to participate in a certain project or not and where the payoff for participating decreases in the number of participating players. We use the replicator dynamics to model the competition between...
Persistent link: https://www.econbiz.de/10005209448
Cover Image
Solving Discrete Zero Point Problems
Laan, Gerard van der; Talman, Dolf; Yang, Zaifu - Tinbergen Institute - 2004
<I>Abstract</I><p> See document.<p>
Persistent link: https://www.econbiz.de/10005209454
Cover Image
Maximin Play in Two-Person Bimatrix Games
Pruzhansky, Vitaly - Tinbergen Institute - 2003
Since the seminal paper of Nash (1950) game theoretic literature has focused mostly on equilibrium and not on maximin (minimax) strategies. We study the properties of these strategies in 2-player non-zero-sum strategic games, whose Nash equilibria are only mixed.
Persistent link: https://www.econbiz.de/10005209466