Two firms, each consisting of a team with the owner and just oneemployee, compete on the labor market with free labor mobility. Afterobserving the investment decisions by firm owners their employees canengage in costly training, thus increasing their general and firm-specificproductivity, which...

The literature on enterprises in Sub-Saharan Africa provides evidence that there are significant differences between companies run by members of the majority population and those run by members of minorities. Differences are frequently related to size, age, and certain success indicators....