Add a stage of signal acquisition to a canonical model of portfolio choice.Under fully revealing asset price, investors' information demand reflects their choice of transparency. In reducing uncertainty, financial transparency raises expected asset price and thus benefits holders of the risky...

Give a risk neutral investor the choice to acquire a costly signal prior to Walrasian asset market equilibrium. She refuses to pay for the signal. The reason is that a risk neutral investor is indifferent between a risky stock or a safe bond in equilibrium and expects the same return to her...

Adding a stage of signal acquisition to the expected utility model shows that Bayesian updating results in a well de¯ned law of demand for financial information when asset return distributions are conjugate priors to signals such as in the gamma-Poisson case. Signals have a positive marginal...

Production function estimation with micro-data shows that a persistent unobserved variable varies within firm or plant over time but resists treatment and may cause biases. This paper presents an estimation model of the firm under endogenous productivity change. The model implies that (i) the...

Linked employer-employee data for Brazil over a period of large-scale trade liber- alization document two salient workforce changeovers. Within the traded-goods sector, there is a marked occupation downgrading and a simultaneous education upgrading by which employers ¯ll expanding low-skill...

Brazil's trade liberalization between 1990 and 1993, and its partial re- versal in 1995, are used to study how reduced inward trade barriers affect productivity. The production function of Brazilian manufactur- ers is estimated at the ISIC3 two-digit level under various alternatives, including...

We employ a comprehensive matched employer-employee data set for Brazil to analyze wage determinants and compare results to Abowd, Kramarz, Margolis and Troske (2001) for French and U.S. manufacturing. Returns to education and experience in Brazilian manufacturing exceed those of the other...

Multinational labor deman responds to wage differentials at the extensive margin, when a multinational enterprise (MNE) expands into foreign locations, and at the intensive margin, when an MNE operates existing affiliates across locations. We derive conditions for parametric and nonparametric...

Multinational labor demand responds to wage differentials at the extensive margin, when a multinational enterprise (MNE) expands into foreign locations, and at the intensive margin, when an MNE operates existing affiliates across locations. We derive conditions for parametric and nonparamtric...

A rational-expectations equilibrium with positive demand for financial information does exist under fully revealing asset price-contrary to a wide-held conjecture. Generalizing the common additive signal-return model with CARA utility to the family of distributions with moment generating...