We propose a model to unify and compare the three most popular monetary mechanisms: the credit theory, quantitative easing (QE), and the helicopter theory. We show different effects of these mechanisms on goods prices and equity prices. We find that, with a monetary expansion, the credit theory...

Each bargaining problem generally involves two stages. A bargaining solution needs to decide what actions to take and how to share values. This note extends the Nash bargaining solution to such two-stage bargaining problems

The venture capital market consists of three major types of venture capital (VC): independent venture capital (IVC), government-sponsored venture capital (GVC), and corporate venture capital (CVC). Each VC type has its own distinct objective and focus. Each entrepreneurial venture has a...

We intend to solve the uniqueness problem of equilibria for all games. We introduce a new rationality criterion for games, which rules out many equilibria. Our selection principle is based on the argument that since the players know the set of potential equilibria of a game, they will actively...

We study corporate strategic investment in technology via corporate venture capital (CVC). An entrepreneurial venture is said CVC-superior if investing in it is better than investing in internal R&D to an investing company. We find that ventures with high expected technologies are CVC-superior;...