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In models of sequential decision making herd behaviour occurs if the signals smart(dumb) agents receive are (un)correlated and if agents have reputational concerns. We show thatintroducing costly effort to become informed about project payoffs (i) eliminates herdbehaviour and (ii) shifts...
Persistent link: https://www.econbiz.de/10011256752
develop a theory of leadership that focuses on the role managersplay in motivating employees through their attitude towards … employeeswho are driven by concerns about their reputation for being able. When employeesare driven by monetary rewards and care …
Persistent link: https://www.econbiz.de/10011257220
Can vanity do any good? It may seem obvious to answer this question in the negative, as economists have shown how reputational concerns lead agents e.g. to ignore valuable information, to herd, and to become overly risk averse. We explore how proud agents may be a social blessing. An agent may...
Persistent link: https://www.econbiz.de/10011255970
quality goods and keep up the reputation of the destination as demandcontinues to grow, producers need to gain a mark-up on …
Persistent link: https://www.econbiz.de/10011256142
This discussion paper resulted in an article in the 'Journal of Economic Behavior and Organization' (2007). Volume 62, pages 579-590.<P> When hiring an adviser (he), a policy maker (she) often faces the problem that she has incomplete information about his preferences. Some advisers are good, in...</p>
Persistent link: https://www.econbiz.de/10011256246
efficient solution for games with communication graph structures and show that it is characterized by efficiency, fairness and a …
Persistent link: https://www.econbiz.de/10011256656
Total Factor Productivity (TFP)is often used on the macro-economic level as an indicator of changes in efficiency of a … increasing and become positive after a (quite a) few years of transition. Many authors conclude that this is a gain in efficiency … increases in efficiency. To investigate this, the mathematical properties of TFP are analysed in order to generate new insights …
Persistent link: https://www.econbiz.de/10011256958
game theory to assess the economics of transboundary river water allocation in a simple model of river sharing. This model … specific attention to the efficiency, sustainability, and fairness of solutions to this model. We compare and contrast both …
Persistent link: https://www.econbiz.de/10011257048
distribution theory and local power results. The tests are (quasi-)likelihood ratio tests based on a Gaussian likelihood, but of …
Persistent link: https://www.econbiz.de/10011257175
and sending both to the low productivity sector. But, efficiency requires that they apply to both sectors because a higher …
Persistent link: https://www.econbiz.de/10011257276