This paper explores the theoretical link between trade liberalization and industrial development indeveloping economies. A two-country, three- good, and three-factor computable general equilibrium model is developed, which features a capital-intensive intermediate good, and a special factor of...

The study of the distribution of real roots of a polynominal with random coefficients, which traces back at least to [BP32], has recently been developed in the direction of multivariate systems. This paper studies the more general case of mixed multihomogeneous systems.

This paper studies consumer theory from the bounded rationality approach proposed in Richter and Wong (1996a), with a 'uniformity principle' constraining the magnitudes (prices, quantities, etc.) and the operations (to perceive, evaluate, choose, communicate, etc.) that agents can use. In...

The paper suggests that a portion of moral hazard is due to income transfers and that this portion of moral hazard should be excluded from the welfare loss Calculations. Only the portion of moral hazard that is due to the pure price effect has conventional welfare loss implications.

If the bidders in an auction have financial constraints, how should the seller design the auction to maximize his profit? An observed practice is that the seller offers a loan, or interest subsidy, to the highest bidder. The work by Che and Gale [3] has given a partial answer for second-price...