Why are similar workers paid differently? I review and compare two lines of research that have recently witnessed great progress in addressing “unexplained” wage inequality: (i) worker unobserved heterogeneity in, and sorting by, human capital; (ii) firms’ monopsony power in labor markets...

This paper shows the links between the epistemological debate in Economics and in Law. In an evolutionary perspective we note phases in which each discipline seems “pure doctrine” and others in which there is greater coherence between theoretical patterns and the real economic and legal...

This paper studies an optimal taxation problem under the assumption that consumers have time-inconsistent preferences for immediate gratification. Because of that, consumers consciously overconsume one good, and regret later for the lack of self-control that has generated excessive consumption....

The paper analyzes the determinants of subjective well-being using data on the Cooperative Sociali Italiane Survey 2007. Aim of the work is to verify whether the genuine relationships among people and participation in activities with high social content may be qualified as essential components...

The paper addresses the limits and alternatives to the expected utility theory. It points out the link between Complexity Theory and Behavioural Economics (BE). In particular, the BE is the combination of psychology and economics. It permits to investigate agents' decision process if human...

We take a game theory approach to study the make-or-buy decisions of firms in a mixed duopoly. We assume that a managerial firm and a profit-oriented firm compete in a duopoly market for a final good, and they can choose whether making an intermediate input or buying it from a monopolistic...

This paper examines the effectiveness of the wage-rise-contract policy as a strategic commitment in a two-stage quantity-settingmodel with two labor-managed income-per-worker-maximizing firms. The policy is a promise by the firm that it will announce acertain output level and a wage premium...

We present a sequential game to study the introduction of collective property rights, such as trademarks, in cultural districts, aimed at protecting and supporting the idiosyncratic nature of local production. The first step of the game is the public decision on whether creating the trademark or...

This paper provides a decision theoretic framework in which agents can possibly experience fearful emotional states. In particular, I axiomatize a lexicographic maxmin framework, throughout called Lexicographic Multiple Priors model, which accounts for different levels of fear, pessimist and...

A model of insider trading is used to analyze the behaviour of trading volume in financial markets characterized by asymmetric information. This model extends the one in Bhattacharya and Nicodano (2001) by introducing competition among informed traders and imperfection of their private...