The Riegle-Neal Act in the US and the Economic and Monetary Union in Europe are recent initiatives to stimulate financial integration.These initiatives allow new entrants to "poach" the incumbents' clients by offering them attractive loan offers.We show that these deregulations may be...

We show that competing firms relax overall competition by lowering future barriers to entry.We illustrate our findings in a two-period model with adverse selection where banks strategically commit to disclose borrower information.By doing this, they invite rivals to enter their market.Disclosure...

The trade-offs involved in the extent of appropriability conferred by intellectual property right (IPR) protection to innovators remains an area with many unanswered questions. This paper considers the case of IPRs for product innovations where the product is an intermediate good used to produce...

How to compensate people who provide relevant information to a decision-maker who faces uncertainty?This paper suggests some compensation rules.These are studied both in a cooperative and a noncooperative environment.

In order to be able to devise successful strategies for destabilizing terrorist organizations it is vital to recognize and understand their structural properties. This paper deals with the opti- mal communication structure of terrorist organizations when considering the tradeoff between secrecy...

Informationally Robust Equilibria (IRE) are introduced in Robson (1994) as a refinement of Nash equilibria for e.g. bimatrix games, i.e. mixed extensions of two person finite games.Similar to the concept of perfect equilibria, basically the idea is that an IRE is a limit of some sequence of...

Covert organizations are constantly faced with a tradeoff between secrecy and operational efficiency. Lindelauf, Borm and Hamers (2008) developed a theoretical framework to deter- mine optimal homogeneous networks taking the above mentioned considerations explicitly into account. In this paper...

As becomes apparent from the standard text books in industrial organization (cf.Tirole, 1988, The Theory of Industrial Organization), the analysis of the e.ects of uncertainty within this field is yet underdeveloped.This paper shows that the new theory of strategic real options can be used to...