We study optimal promotion decisions of hierarchical firms, with one junior and one senior managerial position, which interact in a search and matching labour market. Workers acquire experience over time while being employed in a junior position and the firm has to determine the experience level...

We study investments in R&D and the formation of R&D clusters of firms which are competitors in the market. Firms first decide on long-term R&D investment, then form research clusters according to the unanimity game, and finally compete in quantities. Equilibria with no-investment might co-exist...