We study the strategic interaction between a decision maker who needs to take a binary decision but is uncertain about relevant facts and an informed expert who can send a message to the decision maker but has a preference over the decision. We show that the probability that the expert can...

We present a simple model where mergers benefit consumers, harm outsiders and, depending on the shape of demand, can be profitable for insiders (and where mergers do not involve cost synergies).

This paper argues that Rock–Scissors–Paper is a stochastic game with discounting. Provided that the discount factor is less than 1, it has an evolutionarily stable strategy (ESS). This result contrasts with the one-shot normal form game, which is the customary representation of...

We study the effects of economic shocks on civil conflict at the subnational level using a panel dataset of 5689 administrative regions from 53 African countries with yearly observations from 1992 to 2010. We find that economic shocks, measured by nighttime light intensity and instrumented by...

We hypothesize that natural resources raise income inequality in ethnically polarized societies, but reduce income inequality in ethnically homogenous societies; and we present empirical evidence in support of this hypothesis.