Implicit contracts can mitigate moral hazard in labor, credit and product markets. The enforcement mechanism underlying …-generating resources provided by the principal. For example, in credit markets with weak creditor protection borrowers may be able to … contracting: it leads to a more frequent breakdown of credit relationships as well as to smaller loans. …

are information seeking otherwise. Because belief updating depends on the decision problem in which new information is …

myopia may justify public pensions but never alongside positive private savings. With sufficient myopia, co-existence of …

that credit and insurance markets are also more developed in the North than in the South, existing theories of consumption …In this paper we analyze the relationship between unemployment and consumption. We study this relationship with panel … smaller consumption losses in Spanish and Italian households. We discuss this finding in the light of different market and …

cost of making a mistake on this decision is $ 262. We then compute that almost all members have made the right decision …

By means of a laboratory experiment, we show that, contrary to standard consumer theory, financially equivalent balance … gains and report greater propensities to consume. A standard optimal consumption choice model, enriched with a rational but …

This paper studies a married couple s dynamic investment and consumption choices under the assumption that the couple … full efficiency. The effect of the inability to commit across time on the savings level is examined under a tractable …