The objective of this paper is to combine a real options framework with portfolio optimization techniques and to apply this new framework to investments in the electricity sector. In particular, a real options model is used to assess the adoption decision of particular technologies under...

During the 90s the increase in health spending which compared to the overall growth had taken place at a rather rapid pace experienced a worldwide slow-down. In relation to overall economic growth and the expansion of other countries' health care systems, Austria's system grew below average- a...

In this paper we take up a model of Okada (1996) to describe the possibility of collective cooperation in a n-person Prisoner's Dilemma game by means of institutional arrangements. In addition, we introduce the possibility to corrupt the institutional authority by paying him some positive...

We consider the case in which the opening up of an economy to migration results in departure of skilled workers. We point out that while the possibility of migration changes the set of employment opportunities, it also affects the structure of incentives: Higher returns to skills in the foreign...

Empirical studies have emphasized three important factors in firm-labor relationships: (a) organization costs of workers, (b) management opposition against workers' organizing drives, (c) the possibility of productivity enhancing effects due to voice/response reasons. In this paper the interplay...

We demonstrate how altruism can flourish in a population of nonaltruists. We assume that each individual plays a one-shot prisoner's dilemma game with his or her sibling and that the probability than an individual survives to reproduce is proportional to his or her payoff in this game. We model...

This paper develops a Bertrand Price Competition model with differentiated goods in which export subsidies are compared to exchange rate depreciation as different government policies for promoting exports. National governments may wish to help domestic firms to expand market shares in profitable...

We show that equilibrium involuntary unemployment emerges in a multi-stage game model where all market power resides with firms, on both the labour and the output market. Firms decide wages, employment, output and prices, and under constant returns there exists a continuum of subgame perfect...