The profitability of a firm is jointly determined by it's organizational structure and the market structure. To explore the effects of market factors on optimal organizational structure we develop a real-time information processing model of a multi unit firm in a dynamic duopoly environment. Our...

Since the 1990s, China has pushed forward the province-managing-county (PMC) reform in some provinces as an experiment of fiscal decentralization. The reform provides a good opportunity to examine the impact of fiscal decentralization on fiscal behaviors of local governments in China. Using a...

This study is the first attempt to examine the determinants of expenditure decentralization at sub-provincial levels in China. The Chinese central government gives detailed guidelines to local governments on public finance, but, ironically, their expenditure assignment is far from being...