This paper examines how car manufacturers use buyback prices in lease contracts to address problems of adverse selection in the secondary market. While theoretical work on adverse selection and leasing has largely focused on the automotive industry, empirical work has been limited to other...

Three laboratory studies investigate the hypothesis that the presence of wealth may influence people's propensity to engage in unethical behavior. In the experiments, participants are given the opportunity to cheat by overstating their performance or by stealing money. In each study, one group...

This paper examines shakeouts in the context of business ecosystems. Market turbulence generated by core firm decisions in competing differentiated ecosystems can generate financial losses and exit for complementary niche market firms. I develop hypotheses predicting which niche markets will...

Problem description: A recent trend in personnel operations is to reduce hierarchy and allow employee teams to self-manage tasks, responsibilities, and rewards. Yet we know little about how this arrangement relates to worker productivity and fairness.Academic/Practical relevance: We provide the...

We argue that a pure capabilities-based view does not accurately explain the competitive dynamics of increasingly common settings where firms act as both complementors and competitors. We propose that the Awareness-Motivation-Capability framework is more appropriate for these settings. We derive...

Abstract: This paper investigates the impact of a corporate wellness program on worker productivity using a panel of objective health and productivity data from 111 workers in five laundry plants. Although almost 90% of companies use wellness programs, existing research has focused on cost...

We study how peers impact worker productivity growth among salespeople in the cosmetics department of a department store. We first exploit a shift assignment policy that creates exogenous variation in salespersons' peers each week to identify and quantify sources of worker learning. We find that...

This study uses the 2008 mortgage crisis to demonstrate how the relationship between vertical integration and performance crucially depends on corporate governance. Prior research has argued that the vertical integration of mortgage origination and securitization aligned divisional incentives...

We use a novel design to identify how dishonesty changes through a broad reward range that, at the high end, exceeds participants' average daily wages. Using a sample of online Indian workers who earn bonuses based on six simultaneous coin flips, we show that the relationship between dishonesty...

We use experiments in high schools in two neighborhoods in the metropolitan area of Palermo, Italy to experimentally demonstrate that the historical informal institution of organized crime can undermine current institutions, even in religiously and ethnically homogeneous populations. Using trust...