Showing 1 - 10 of 15
What is the role of leaders in large organizations? We propose a model in which a leader helps to overcome a misalignment of followers' incentives that inhibits coordination, while adapting the organization to a changing environment. Good leadership requires vision and special personality traits...
Persistent link: https://www.econbiz.de/10010683351
Traditional asset pricing models predict that covariance between prices of different assets should be lower than what we observe in the data. This paper introduces markets for information that generate high price covariance within a rational expectations framework. When information is costly,...
Persistent link: https://www.econbiz.de/10005168098
Traditional asset pricing models predict that covariance between prices of different assets should be lower than what we observe in the data. This paper introduces markets for information that generate high price covariance within a rational expectations framework. When information is costly,...
Persistent link: https://www.econbiz.de/10010638025
We explore how optimal information choices change the predictions of strategic models. When a large number of agents play a game with strategic complementarity, information choices exhibit complementarity as well: if an agent wants to do what others do, they want to know what others know. This...
Persistent link: https://www.econbiz.de/10005167934
If an investor wants to form a portfolio of risky assets and can exert effort to collect information on the future value of these assets before he invests, which assets should he learn about? The best assets to acquire information about are ones the investor expects to hold. But the assets the...
Persistent link: https://www.econbiz.de/10010638013
We explore how optimal information choices change the predictions of strategic models. When a large number of agents play a game with strategic complementarity, information choices exhibit complementarity as well: if an agent wants to do what others do, they want to know what others know. This...
Persistent link: https://www.econbiz.de/10010638034
We show how the willingness-to-pay problem and lack of exclusivity in sovereign lending may result in an equilibrium sovereign debt structure that is excessively difficult to restructure. A bankruptcy regime for sovereigns can alleviate this inefficiency but only if it is endowed with...
Persistent link: https://www.econbiz.de/10010970152
We show how the willingness-to-pay problem and lack of exclusivity in sovereign lending may result in an equilibrium sovereign debt structure that is excessively difficult to restructure. A bankruptcy regime for sovereigns can alleviate this inefficiency but only if it is endowed with...
Persistent link: https://www.econbiz.de/10005005163
This paper extends the analysis of transactions cost models of vertical integration to multilateral settings. Its main fo cus is on supply assurance concerns that arise when several downstream firms are competing for inputs in limited supply. Integration reduce s supply assurance concerns for an...
Persistent link: https://www.econbiz.de/10005242542
Persistent link: https://www.econbiz.de/10005242617