We assemble and analyze a new data set of homeowner insurance claims from 28 independently operated country … subsidiaries of a multinational insurance company. A fundamental feature of the data is that such claims are often disputed, and … lead to rejections or lower payments. We propose a new model of insurance, in which consumers can make invalid claims and …

shareholders by the controlling shareholders, rather than that of restricting empire building by professional managers …

, when it buys a rapidly growing target , and when the performance of its managers has been poor before the acquisition …

investment, and allows managers to charge higher fees to investors who trust them more. Money managers compete for investor funds … by setting their fees, but because of trust the fees do not fall to costs. In the model, 1) managers consistently … involve sharing of expected returns between managers and investors, with higher fees in riskier products, 3) managers pander …

We present a theory of choice among lotteries in which the decision maker's attention is drawn to (precisely defined … distinguish it from Prospect Theory, which we test. We also use the model to modify the standard asset pricing framework, and use …