This note provides an elementary short proof of the Knaster-Kuratowski-Mazurkiewicz-Shapley (K-K-M-S) Theorem based on Brouwer's fixed point theorem. The usefulness of the K-K-M-S Theorem lies in the fact that it can be applied to prove directly Scarf's (1967) Theorem, i.e., any balanced game...

Is the use of fiat money essential in any efficient organization of exchange? We investigate this question in economies that are generalizations of the Townsend (1980) turnpike model that include limited commitment and differential information. We show that in the Townsend turnpike model fiat...

The paper analyzes the properties of cores with differential information, as economies converge to complete information. Two core concepts are investigated: the private core, in which agents' net trades are measurable with respect to agents' private information, and the incentive compatible...

We develop a model in which profits of media firms depend on their audience ratings, and maximizing profits may involve catering to a partisan audience by suppressing information that the partisan audience does not like hearing. While voters are rational, understand the nature of the news...

The purpose of this paper is to derive the structure of optimal multilateral contracts in a costly state verification model with multiple agents who may be risk averse and need not be identical. We consider two different verification technology specifications. When the verification technology is...

One of the most widely discussed phenomena in American politics today is the perceived increasing partisan divide that splits the U.S. electorate. A central contested question is whether this diagnosis is actually true, and if so, what is the underlying cause. We develop a model that relates the...

We develop a formal model in which the government provides public goods in different policy fields for its citizens. We start from the basic premise that two office-motivated candidates have differential capabilities in different policy fields, and compete by proposing how to allocate government...