Dynamic principal-agent settings with asymmetric information but no commitment are well known to create a ratchet effect. Here, the most efficient agents must be provided with extra 'information rent' as an incentive to relinquish their informational advantage over an uninformed principal; this...

A time-inconsistency problem in regulation often results in under-investment es- pecially where there are high sunk costs in network industries such as electricity, gas, telecommunications and water. This paper provides a new perspective on this ‘hold-up’ problem facing the price regulation...

The enlargement of the EU has implications for the national defence requirements and therefore national defence policy of European nations. In light of the freedom of movement of citizens between member states it is appropriate to consider the implications of a country's military expenditure for...