It is widely accepted that only the protection of private property rights and competition by rival firms provide adequate incentives to perform for managers and employees. However, it is not entirely clear how ownership interacts with competition. This paper centres around the question of...

It is widely accepted that only the protection of private property rights and competition by rival firms provides adequate Incentive to perform for managers and employees. However, it is not entirely clear how ownership interacts with competition. This paper centers on the question of ownership...

This paper applies the inframarginal analysis, which is a combination of marginal and total cost-benefit analysis, to investigate the relationship between division of labor, the extent of the market, productivity, and inequality of income distribution. The model with transaction costs and...

The paper introduces differences in production and transaction conditions between countries into the model of monopolistic competition to investigate the interplay between trade policies and development strategies. It applies inframarginal analysis, which is total benefit analysis between corner...

Governments and aid agencies target transfers to the poor, but audits to deter the rich are costly. This paper analyzes how community information can reduce targeting costs. If each community is given a hard budget constraint, then targeting costs can be substantially reduced by asking...

This paper offers the first comprehensive analysis of legal change in the protection of shareholder and creditor rights in transition economies and its impact on the propensity of firms to raise external finance. Following La Porta et al. (1998), the paper constructs an expanded set of legal...

The Grameen Bank’s lending has two distinctive features: villagers are held jointly liable for repayments and are asked to make reports about each other. We consider a model where villagers have an information advantage over the bank and can collude. We derive an efficient Grameen type...

PART I: INCREASING COMPETITIVNESS THROUGH R&D AND INNOVATIONSChapter 1 From LISBON To "Lisbon"Janez PrašnikarChapter 2 EU and Economic GrowthA.W. BootChapter 3 How European Financial Institutions Affect Their R&D and Economic DevelopmentJiang Tong and Chenggang XuChapter 4 Internationalization...

Interactions between economic development and financial development are studied by looking at the roles of financial institutions in selecting R&D projects (including for both imitation and innovation). Financial development is regarded as the evolution of the financing regimes. The...