In this article, we consider a knowledge accumulation problem within an organization that cannot prevent the worker from quitting and using the knowledge outside the organization. We show that knowledge accumulation is delayed: The fraction of working time allocated to knowledge creation is...

This study analyzes the risk of a conflict between countries sharing freshwater. While some scholars claim that water-based conflicts can never occur, this analysis identifies a negotiation interval whose size depends on water availability and asymmetry in productive ability between countries....

The paper analyses the problem of optimal taxation in oligopoly when environmental degradation induced by the industry production process feeds back into market demand. The main assumption is that economic agents and the policy-maker care about the environment only because its degradation...

We present a model of learning in which agents learn from errors. If an action turns out to be an error, the agent rejects not only that action but also neighboring actions. We find that, keepng memory of his errors, under mild assumptions an acceptable solution is asymptotically reached....