Political entrepreneurs, or leaders, play an important role in overcoming under-provision and coordination problems inherent in international public goods. Recent examples include the Montreal Protocol on ozone depletion and NATO peacekeeping. We demonstrate that the Prisoner's Dilemma need not...

The standard Blanchard-Quah (BQ) decomposition forces aggregate demand and supply shocks to be orthogonal. However, this assumption is problematic for a nation with an inflation target. The very notion of inflation targeting means that monetary policy reacts to changes in aggregate supply. This...

This paper presents a model where foreign aid bolsters a developing country's proactive counterterrorism efforts against a resident transnational terrorist group. In stage 1 of the game, the donor country allocates resources to terrorism-fighting tied aid, general assistance, and defensive...

This paper constructs a theoretical model to investigate the relationship between the two major forms of terrorism and foreign direct investment (FDI). We analyze with various estimators how these relationships are affected by foreign aid flows by focusing on 78 developing countries for...

This article investigates interclub sharing arrangements as a means for coping with random utilization without imposing capacity constraints that require members to be turned away. The optimal sharing rule and toll are identified for a two-club sharing scheme. When optimal sharing is invoked,...

This article argues that the World Resources Institute (WRI) data are appropriate for our game-theoretic-based analysis of countries' CFC emission cutbacks prior to the ratification of the Protocol. Given the underlying game from which our reduced-form equations follow, the policymakers must be...