make external financing costly, the optimal contract between shareholders and employees involves some degree of risk …We argue that risk sharing motivates the bank-wide structure of bonus pay. In the presence of financial frictions that … to rationalize with incentive theories of bonus pay - but support an important risk sharing motive. In particular …

financial accelerator). In the second scenario, only those upstream firms located in the “red zone” are forced to contract …

In a Case Law regime Courts have more flexibility than in a Statute Law regime. Since Statutes are inevitably … most economic decisions are already taken. Therefore, the advantage of flexibility for Case Law is unavoidably paired with … pairs the lack of flexibility with the ability to commit in advance to a given (forward looking) rule. This solves the time …

flexible technology allowing for such option. Investment is irreversible and flexibility is costly. The problem is solved …

model of vertical integration in a supplier-producer relationship that is rooted in the property-rights theory to learn …

We estimate a three-variate VAR using proxies of global financial uncertainty, the global financial cycle, and world … industrial production to simulate the effects of the jump in financial uncertainty observed in correspondence of the Covid-19 … outbreak. We predict the cumulative loss in world output one year after the uncertainty shock due to Covid-19 to be about 14% …

first-order approximated solution built by perturbation methods accounts for risk. We show that risk matters economically in … a real business cycle (RBC) model with habit formation and capital adjustment costs and that neglecting risk leads to …