In this paper we study the relationship between costs, input prices and activity levels in a sample of medium sized, city police departments for the years 1968, 69, 71 and 73. Our focus is on determining the functional structure of law enforcement production technology

In this note we correct several misunderstandings which have arisen since publication of our earlier paper “Law Enforcement Agencies as Multiproduct firms: An Econometric Investigation of Production Costs.” These misconceptions arise regularly in empirical applications of economic theory to...

We analyze the expected value of information about an agent's type in the presence of moral hazard and adverse selection. Information about the agent's type enables the principal to sort/screen agents of different types. The value of the information decreases in the variability of output and the...

We analyze the expected value of information about an agent's type in the presence of moral hazard and adverse selection. Information about the agent's type enables the principal to sort/screen agents of different types. The value of the information decreases in the variability of output and the...

We examine the information role of accounting disclosures on warranties, utilizing a database that became available due to the requirements of FIN 45. First, because firms use warranty policies as a business strategy to promote their products, a warranty reserve can serve two roles: an...