This paper aims to identify the mechanisms through which intentional misstatements adversely affect firms by analyzing rating analysts’ reaction to misstatements. In order to identify the mechanisms through which the misstatement affects firms’ credit ratings, we analyze the content of...

Some economists have argued that the close association between domestic saving and investment rates justify polices aimed at altering domestic saving flows so as to influence domestic investment flows. This interpretation assumes an endogenous investment response. Equally likely, theoretically,...

This paper examines the exogeneity of money and prices within a money demand vector error-correction model. The exogeneity of the variables is central to several 'buffer stock' models. However, the paper makes two modifications to the traditional approach. The first is to explicitly acknowledge...

A corollary of the Coase Theorem maintains that, where free market precepts exist, the allocation of property rights would not impact the level of competition within an industry. Within the Major League Baseball industry, for example, the theorem would suggest that institutional arrangements...