Analysts make competing claims about when and how politicians can use fear to gain support for suboptimal policies. Using a model, we clarify how common attributes of fear affect politicians’ abilities to achieve self-serving outcomes that are bad for voters. In it, a politician provides...

The article deals with problem of forming of Pareto non-optimal norms of mutual behavior of investors and government in the process of decision-making related to financing of reduction of risks of investment activity in economy. The game-theoretical analysis suggests that inefficiency of arising...

How can a rational player strategically control a myopic best reply player in a repeated two-player game? We show that in games with strategic substitutes or strategic complements the optimal control strategy is monotone in the initial action of the opponent, in time periods, and in the discount...

We present 1984 data on U.S. multinationals, their foreign operations, and repatriations received from their controlled foreign corporations (CFCs), and explore the ramifications of the 1986 Tax Reform Act’s lowering of the corporate tax rate from 46 to 34 percent. We identify and quantify the...

The Eurocrisis challenges our definition of a common future in Europe. As first step, this article describes a vision of a future Europe without the Euro as state of political and economic marginalisation. I am contrasting this vision by demanding European values and civic duties that make the...

This paper proposes a redemption fund for the euro zone countries alternative to that recently proposed by Doluca et al. (2012) – The European Redemption Pact: an Illustrative Guide, GCEE Working Paper No.2, February – and in coherence with a previous proposal of one of the author. In doing...

For decades, the OECD constituted an economic and political "club" of Western countries focused around the transatlantic axis. Today, it faces unprecedented challenges as the world economy shifts to the East and the South. In response, the OECD is undergoing meaningful reform: it is becoming...

Recognising the declining weight of its members in the world economy, the OECD, formerly known as a ‘club of rich, industrialised nations’, is undergoing unprecedented organisational reform, including a more inclusive membership logic, engagement with new global players, and outreach to...

The focus of this study is on black markets which provide an important segment of the parallel economy. These markets operate in disequilibrium,search and information costs become very important.Trafficking in drugs taken as case, to explore both theoretically and empirically. The problem,...