We study the variation in ownership shares across affiliates of the same multinational firm. Using the micro-level data on foreign affiliates of South Korean multinationals, we construct a proxy for the headquarter intangible asset using transferred Korean workers from the parent to the...

Using Japanese firm-level data, I examine whether more productive multinational enterprises (MNEs) invest in a larger number of foreign regions in the manufacturing sector. I employ the Kolmogorov–Smirnov (KS) test to compare the overall distribution of productivity by multinational status. I...

Laitinen (1980) derives an input allocation model for a multiproduct firm that first maximizes revenue and second maximizes profit. While theoretically elegant, the model has never been formulated empirically because of the complexity of the model’s price-deflated terms. This paper derives the...

This paper studies the impact of relative performance evaluation (RPE) on the equilibrium locations in a Hotelling model with quadratic transportation cost. It is shown that equilibrium location varies from maximum differentiation to minimum differentiation, depending upon the relative strength...

I develop a semi-structural approach to identify network effects on two-sided monopoly platforms without data on prices and quantities. When total revenue data is available, the test is sufficient. When separate revenue data is available on the two sides, the test is both necessary and sufficient.

We propose and test hypotheses about three endogenous mechanisms that may be driving the observed network structure of producers’ markets. We use data that we have collected on collaborative network ties among producers. Estimates of Exponential Random Graphs Models (ERGM) support our hypotheses.

Despite a well-developed literature on implications of multimarket contact among firms for performance in domestic markets, only recently has theoretical and empirical work turned to similar issues in international trade. In this paper, I consider the possibility that exporters meeting rivals in...

A multiplicative form of the habit term in the utility function has some undesirable properties if the habit function is itself still additive (Wendner, 2003). A geometric form for the way the stock of habit accumulates can resolve these shortcomings.

We provide two methods to compute the largest subset of a set of observations that is consistent with the Generalised Axiom of Revealed Preference. The algorithm provided by Houtman and Maks (1985) is not computationally feasible for larger data sets, while our methods are not limited in that...

This paper identifies a new sufficient condition for a prudent agent to have positive precautionary saving in the presence of labor income and interest rate risks of any size. We also provide three economic interpretations for this condition focusing respectively on the marginal effect of saving...