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Trust affects almost all human relationships – in families, organizations, markets and politics. However, identifying the conditions under which trust, defined as people’s beliefs in the trustworthiness of others, has a causal effect on the efficiency of human interactions has proven to be...
Persistent link: https://www.econbiz.de/10011932074
We establish that a monopoly bank never uses collateral as a screening device. A pooling equilibrium always exists in … which all borrowers pay the same interest rate and put zero collateral. Absence of screening leads to socially inefficient …
Persistent link: https://www.econbiz.de/10011933048
externality to an informed winner, an increase in the number of banks in the market can reduce banks' screening probability …
Persistent link: https://www.econbiz.de/10011940617
Coase Theorem to price this scarce resource. In this market, screening mechanisms shift the burden of message classification …
Persistent link: https://www.econbiz.de/10014587444
scholars are denied visa mistakenly, the intensity of visa screening is higher than its efficient level, but the number of …
Persistent link: https://www.econbiz.de/10014587652
The paper characterizes the optimal provision of quality by a monopolist facing a population of consumers with private valuation for quality. Unlike previous models by Mussa and Rosen (1978) and others, this paper assumes there is a mass of consumers who prefer the highest quality goods. I liken...
Persistent link: https://www.econbiz.de/10014589037
screening, a pure strategy equilibrium exists where banks optimally set interest rates at the same level as their competitors … banks have zero screening costs. In our set up we show that interest rate on loans are largely independent of marginal costs … analysis to the case where banks have differing screening abilities.  …
Persistent link: https://www.econbiz.de/10014589131
Abstract Public policies promoting ‘screening’ for a cancer, while directly bearing on the cancer’s early diagnosis and …
Persistent link: https://www.econbiz.de/10014590615
Abstract Randomized controlled trials have been the mainstay of high-level evidence for or against cancer screening … screening, costs, utilities, the political risk of inaction, the societal tolerance to risk, healthcare providers’ preferences … cancer screening.  …
Persistent link: https://www.econbiz.de/10014590619
Persistent link: https://www.econbiz.de/10014590622