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underlying implementation duality. We show how this duality can be used to obtain a sharpening of the taxation principle, to …
Persistent link: https://www.econbiz.de/10013026253
Conjugate duality relationships are pervasive in matching and implementation problems and provide much of the structure …. In the absence of quasilinearity, a more abstract duality relationship, known as a Galois connection, takes the role of … (generalized) conjugate duality. While much weaker, this duality relationship still induces substantial structure. We show that …
Persistent link: https://www.econbiz.de/10012944599
Conjugate duality relationships are pervasive in matching and implementation problems and provide much of the structure …. In the absence of quasilinearity, a more abstract duality relationship, known as a Galois connection, takes the role of … (generalized) conjugate duality. While weaker, this duality relationship still induces substantial structure. We show that this …
Persistent link: https://www.econbiz.de/10012922807
This paper studies a decentralised job market model where firms (academic departments) propose sequentially a (unique) position to some workers (Ph.D. candidates). Successful candidates then decide whether to accept the offers, and departments whose positions remain unfilled propose to other...
Persistent link: https://www.econbiz.de/10011593289
African populations need better support through social protection mechanisms. Among those who need social security are millions of older people who, having worked all their lives in the formal sector, are in precarious situations with lower benefits. This study aims to appreciate theoretically,...
Persistent link: https://www.econbiz.de/10011581094
For mechanisms with two possible outcomes and a unique agent with two posible types, we state sufficient and necessary conditions over the type space that guarantees the existence of an incentive compatible mechanism. By using tropical geometry, we found that these conditions rely only on the...
Persistent link: https://www.econbiz.de/10012861900
Incentives often fail in inducing economic agents to engage in a desirable activity; implementability is restricted. What restricts implementability? When does re-organization help to overcome this restriction? This paper shows that any restriction of implementability is caused by an identifi...
Persistent link: https://www.econbiz.de/10008758145
We generalize the disutility of effort function in the linear-Constant Absolute Risk Aversion (CARA) puremoral hazardmodel.We assume that agents are heterogeneous in ability. Each agent's ability is observable and treated as a parameter that indexes the disutility of effort associated with the...
Persistent link: https://www.econbiz.de/10012612627
Most firms issue financial assets such as debt or equity (e.g. bonds or stock) to outside investors. While these financial assets differ greatly in their characteristics, their diversity has received little attention in the literature. Filling this important gap in the literature, this paper...
Persistent link: https://www.econbiz.de/10012857527
We develop a dynamic model of debt contracts with adverse selection and belief updates. In the model, entrepreneurs borrow investment goods from lenders to run businesses whose returns depend on entrepreneurial productivity and common productivity. Entrepreneurial productivity is the...
Persistent link: https://www.econbiz.de/10012840518