Similar Search Results

Strategic Export Subsidies and Reciprocal Trade Agreements : The Natural Monopoly Case

Bagwell, Kyle - 1996

a natural monopoly market. We emphasize that subsidy competition between governments can serve to coordinate the entry …

Persistent link: https://www.econbiz.de/10012473274

Content Moderation with Opaque Policies

Kominers, Scott Duke; Shapiro, Jesse M. - National Bureau of Economic Research - 2024

A sender sends a signal about a state to a receiver who takes an action that determines a payoff. A moderator can block some or all of the sender's signal before it reaches the receiver. When the moderator's policy is transparent to the receiver, the moderator can improve the payoff by blocking...

Persistent link: https://www.econbiz.de/10014486247

How to Auction an Essential Facility When Underhand Integration is Possible

Engel, Eduardo M.R.A. - 2001

There are many industries in which potentially competitive segments require services provided by natural monopoly … agreements between the monopoly bottleneck and downstream firms are possible, Demsetz auctions need floors on bids, since … otherwise welfare can be lower than with an unregulated monopoly. We model an underhand agreement using a standard hidden …

Persistent link: https://www.econbiz.de/10012470580

Information Costs and Sequential Information Sampling

Hébert, Benjamin - 2018

We propose a new approach to modeling the cost of information structures in rational inattention problems, the "neighborhood-based" cost functions. These cost functions have two properties that we view as desirable: they summarize the results of a sequential evidence accumulation problem, and...

Persistent link: https://www.econbiz.de/10012480967

Production Networks, Geography and Firm Performance

Bernard, Andrew B. - 2015

firm's marginal production costs. We test the theory by exploiting the opening of a high-speed (Shinkansen) train line in …

Persistent link: https://www.econbiz.de/10012457584

Revealed Preference, Rational Inattention, and Costly Information Acquisition

Caplin, Andrew - 2014

simple cases, tests confirm that subjects adjust their attention in response to incentives as the theory dictates …

Persistent link: https://www.econbiz.de/10012458788

Taxation and Redistribution of Residual Income Inequality

Golosov, Mikhail - 2012

This paper studies the optimal redistribution of income inequality in a model with search and matching frictions in the labor market. We study this problem in the context of a directed search model of the labor market populated by homogeneous workers and heterogeneous firms. The optimal...

Persistent link: https://www.econbiz.de/10012460509

Search Fatigue

Carlin, Bruce Ian - 2012

Consumer search is not only costly but also tiring. We characterize the intertemporal effects that search fatigue has on oligopoly prices, product proliferation, and the provision of consumer assistance (i.e., advice). These effects vary based on whether search is all-or-nothing or sequential in...

Persistent link: https://www.econbiz.de/10012460765

Equity Prices and Equity Flows : Testing Theory of the Information-Efficiency Tradeoff

Razin, Assaf - 2010

The paper tests three hypotheses concerning foreign equity investment in the presence of liquidity risk. First, the FDI-to-FPI price differential is negatively related to liquidity risk (the "Price Discount Hypothesis"). The idea is that market participants do not know whether the FDI investor...

Persistent link: https://www.econbiz.de/10012462005

Durable consumption and asset management with transaction and observation costs

Alvarez, Fernando E. - 2010

The empirical evidence on rational inattention lags far behind the theoretical developments: micro evidence on the most immediate consequence of observation costs − the infrequent observation of state variables − is not available in standard datasets. We contribute to filling the gap with...

Persistent link: https://www.econbiz.de/10012462816