which managers could become entrenched, they already bear a large proportion of the costs and have therefore an incentive to …

misalignment between managers and the firm, these two purposes are in conflict. This is because the worker with the largest private …: employees that create lower expected profits as managers have yet better promotion prospects. That finding still holds when the … firm owner optimally chooses the promotion rule, the degree of delegation, and wage payments to both employees and managers …

The costs of wars have been the main driver of public debt in the Western World during the modern era. The late … finances. I provide evidence that the costs of financial crises have increased strongly in the second half of the twentieth … century and that the costs of financial crises grow with the size of the financial sector. In many countries, the rising costs …

, trade is more sensitive to trade costs if the exporting country only provides a small share of the destination country …’s imports. As a result, trade costs have a heterogeneous impact across country pairs, with some trade flows predicted to be zero …