How high can public debt rise without compromising fiscal solvency? We answer this question using a stochastic ability-to-pay model of sovereign default in which risk-neutral investors lend to a government that displays "fiscal fatigue," because its ability to increase primary balances cannot...

In this paper, we propose a method to visualize online consumer search in so-called product search maps. Manufacturers can use these maps to understand how consumers search for competing products prior to choice, including how information acquisition and product search is organized along brand-,...

We develop a probit choice model under optimal sequential search and apply it to the study of aggregate demand of consumer durable goods. In our joint model of search and choice, we derive a semi-closed form expression for the probability of choice that obeys the full set of restrictions imposed...

Bilateral trade between Korea and EU has been increasing with the exception of the period of the global financial crisis (2009) and Korea has enjoyed trade surplus since 1997. At the time when negotiations were launched for the Korea-EU FTA in 2007, EU was Korea's second largest trading partner...