Motivated by recent UK experience, we study the problem of mobile call termination. This is an intriguing policy story, in which regulation has been imposed on what appears to be a competitive industry. We introduce a framework which integrates two existing literatures: one analyzing...

For a number of applications of signaling, it is sometimes more reasonable to assume that senders rather than nature choose their unobserved features (e.g. their private choices of quality). In other situations, it makes no sense for nature to determine senders' unobserved features (e.g. their...

First circulated as Price Coherence and Adverse Intermediation: 'http://ssrn.com/abstract= 2373671 ' http://ssrn.com/abstract= 2373671 in December 2013.Suppose an intermediary provides a benefit to buyers when they purchase from sellers using the intermediary's technology. We develop a model to...

This paper investigates a puzzle and possible policy concern: Why do platforms such as eBay and Visa that enable the trade of goods of different unobserved costs and valuations rely predominantly on linear ad-valorem fees, that is, fees that increase in proportion to the sale price of the trades...

This paper presents a model of a card payment system to address the pricing and rules that govern such systems. It evaluates the social optimality of privately set interchange fees and the adoption of a rule by payment systems to prevent merchants surcharging for card transactions using two...