Are judges concerned with the effect of their decisions on national welfare in the same way as policy-makers do? In this paper we analyze this question by examining the outcomes of intellectual property rights (IPR) litigations between domestic and foreign .rms. We develop a simple model of...

In this paper, we use duality properties to show that the saving function can be derived in a non-expected utility framework, even with fairly general preferences. We propose an econometric framework for estimation of the cross-country aggregate saving function, using a flexible functional form...

The purpose of this paper is to measure some of the economic effects of greater population diversity. Theoretically, the effects of greater diversity depend on trade-offs between dynamic and static efficiency and on the importance of informational networks. In general, the effects are ambiguous...

This paper studies how information disclosed by voluntary environmental labels creates incentives for firms to invest in environmentally-friendly production technologies. I develop a model with differentiated products and imperfectly-informed consumers. Consumers care about the environmental...

This paper analyzes how uncertainty influences the formation and design of regional trade agreements (TAs). Two sources of uncertainty — in demand and costs — are considered. Using a multi-stage game we show that, as long as some decisions are made after uncertainty is resolved,...

This paper provides a simple dynamic model that explores the interdependence and dynamic properties of hate, violence and economic well-being. It shows that a time-dependent economic growth process that affects the evolution of hate can yield a long run steady state, but this steady state will...

If the value cumulative distribution functions are log-concave at the highest lower extremity of their supports of the first-price auction in the asymmetric indepent private values model.

This paper examines long-term dependence in times between trades on financial markets. The autocorrelation functions of several intertrade duration series show a slow, hyperbolic rate of decay typical for long memory processes. For example, a shock to times between trades of the Alcatel stock on...

This paper is concerned with how the Toronto-based economy adjusted to the problems of rapid economic and population growth and to political changes that were shaped by forces beyond its control. As a result, the City had to change its local government machinery, expand its infrastructure, and...

This paper develops an approximate equilibrium factor model for asset returns. In this model, the pricing factors are the cross-moments of return with the cross-sectional moments of individual consumption and the signs of the risk factor coefficients are driven by preference assumptions. Using...