This paper studies the effect of asset bubbles on economic growth in the presence of financial constraints and heterogeneous projects. I consider an economy with two sectors which differ in their productivity and the pledgeability of their output in financial markets. The first sector has low...

Elinor Ostrom is known for her defense of polycentric systems of governance and her critique of centralized, one-size-fits-all solutions. Ostrom argues throughout her oeuvre that agents on the ground are better situated to identify and develop solutions to a wide variety of collective action...