This paper shows that subsidy competition may be efficiency enhancing. We model a subsidy game among two asymmetric regions in a new trade model, where capital can freely move among regions, but capital rewards are repatriated. We study subsidy competition, starting from an equilibrium where the...

This paper shows that subsidy competition may be efficiency enhancing. We model a subsidy game among two asymmetric regions in a new trade model, where capital can freely move among regions, but capital rewards are repatriated. We study subsidy competition, starting from an equilibrium where the...

Eine Teilnahme an der UEFA Champions League ermöglicht Vereinen, erhebliche finanzielle Zusatzeinnahmen zu generieren und ihre Kader so weiter zu verstärken. Gerade Vertreter schwächerer Bundesligaklubs beklagen sich daher über abnehmende Wettbewerbschancen und eine Schwächung der...

Europe is on the threshold of a campaign of imposing more disclosure requirements and costs through company and securities legislation. The following issues led to this European policy: Firstly, the SarbOx adaptation policy was put in place to protect European companies from the SEC's filings...

We show that in competitive careers based on individual performance the least productive individuals may have the highest probabilities to be promoted to top positions. These individuals have the lowest fall-back positions and, hence, the highest incentives to succeed in career contests. This...