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We set up a simple model of tax competition for mobile, highly-skilled and overconfident managers. Firms endogenously …
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We analyze the competition in bonus taxation when banks compensate their managers by means of fixed and incentive pay … maximize their private benefits of existing government bailout guarantees. In this setting the international competition in …
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We show that every sequential screening model is equivalent to a standard text book static screening model. We use this result and apply well-established techniques from static screening to obtain solutions for classes of sequential screening models for which standard sequential screening...
Persistent link: https://www.econbiz.de/10011626592
We consider a dynamic screening model where the agent may go bankrupt due to, for example, cash constraints. We model bankruptcy as a verifiable event that occurs whenever the agent makes a per period loss. This leads to less stringent truth-telling constraints than those considered in the...
Persistent link: https://www.econbiz.de/10014476119
regulatory competition when banks are heterogeneous and give loans to firms that produce output in an integrated market. In this …
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This paper proposes a theory of shadow bank runs in the presence of sponsor liquidity support. We show that liquidity …
Persistent link: https://www.econbiz.de/10011855308
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