This paper examines the implementation of a Big Push policy in Northern Honduras. Big Push theory emphasizes that pro-active development policy could potentially lead to a Pareto-superior equilibrium. Market forces may not lead to the adoption of increasing-returns production processes, if...

As the modern firm has grown in siza and complecity, more and more attention has focused on how to organize it efficiently. The theory of the firm (and contract theory) examines efficiency-enhancing corporate policies, such as policies to induce high effort, innovation and cooperation among...

This paper derives a model of vertical integration when it is difficult to write binding long-term supply price contracts. Thus, a vertical separated monopolist is vulnerable to hold-up. Without integration, the authors demonstrate that a bottleneck monopolist has an incentive to encourage more...

This paper explores how annual earnings mobility offsets annual earnings inequality, using matched CPS data. Mobility in the economy is estimated using nonparametric quantile regression, for which we adapt state-of-the-art smoothing techniques. Mobility is measured through the churning process...