Why are entrepreneurs liquidity-constrained? The existing literature has almost exclusively focused on incentive problems associated with choices of work efforts and of project qualities. This paper shifts attention to the effect of liquidity-constraints on the quality of the entrepreneurial...

This paper is intended to model the principal-agent relationship and its associated monitoring-incentive problems of the public economy. The basic findings are: (1) the degree of publicness and the size of the public economy matter: the monitoring effort of the original principals and the work...

This paper employs a firm-level panel data set for a high-tech cluster in China to examine knowledge spillovers from multinational enterprises (MNEs) to domestic firms, focusing on the role of MNEs' employment of educated workers. We find that knowledge of MNEs spills over to domestic firms in...