When agents are not price takers, they typically cannot obtain an efficient reallocation of resources in one round of trade. This paper presents a noncooperative model of imperfect competition where agents can retrade allocations,consistent with the Edgeworth’s idea of recontracting. We show...

We study an economy where agents are heterogeneous in terms of observable wealth and unobservable talent. Adverse selection forces creditors to ask for collateral. We study the two-way interaction between rationing in the credit market and the wages offered in the labor market. Both pooling and...

I introduce a model of representative democracy that allows for strategic parties, strategic candidates, strategic voters, and multiple districts. If the distribution of policy preferences is sufficiently similar across districts and sufficiently close to uniform within districts, then the...

The adoption of gender quotas in electoral lists, like the recent “parity law” in France, can be fully rationalized on the basis of the self interest of male incumbent politicians. This paper explains why the parity law was approved in its form and, at the same time, why it has not been very...

We build a model of informal risk-sharing among agents organized in a social network. A connection between individuals serves as collateral that can be used to enforce insurance payments. We characterize incentive compatible risk-sharing arrangements for any network structure, and develop two...

Metacognition is knowledge that can be expressed as confidence judgments about what we know (monitoring) and by strategies for learning what we don’t know (control). Although a substantial literature exists on cognitive processes in animals, little is known about their metacognitive abilities....

A welfarist way of allocating resources consists in 1) equipping individuals with comparable indices of their well-being and 2) applying a unique aggregation rule to individual well-being levels. An equality of opportunity way of allocating resources consists in 1) making the distinction between...