Katz and Stark (1986) have proposed two reasons for rational workers to migrate to urban areas even when the urban expected income is lower than rural income. We propose to more, viz., scale economies in consumption and differential income variance in favor of the urban area. In each case,...

We give the conditions for the attainment of self-enforcing Pareto efficiency under complete effort non-observability, strict agent rationality and global budget balance among teams involved in a winner-takes-all contest for a prize. Employing Nash conjectures and fixed fee financing of the...

We show that (1) a social ordering on R 0 that satisfies Strong Paretoness, Invariance with respect to a Positive Proportional Transformation and Lower Semi-Continuity does not exist and (2) that a social ordering or R 0 that satisfies Weak Paretoness, Invariance with respect to an Affine...

We show that an output sharing scheme with an egalitarian bias is inconsistent with first best production level in a team with self-interested nonidentical members.

Moral is a proverbial hidden variable in models of social games. Its importance is unquestioned but it ordinarily defies operational definition. We attempt here to parameterize its role and trace how it impacts on social production and welfare in a Nash-like bargaining games. Synergy is...

We examine the three options at the policymakers disposal to pull the Philippine economy out of the currency crisis and propel it to a sustainable growth orbit: the BSP option, the incentives restructing option, and the protectionist option. In a situation of financial panic and the resulting...