How should changes in environmental quality occurring in the future be discounted? To answer this question we consider a model of “ecological discounting,” where the representative consumer has a utility function defined over two attributes, consumption and environmental quality, which...

In this paper we analyze customer-class price discrimination in the face of uncertain demands. More precisely, we explore the pricing decision of a multiproduct monopoly facing random, correlated demands. We consider only a uniform price for each customer class; multi-part pricing is not...

This paper develops a theoretical model that identifies the relationship between the volatility of private sector wages and growth. The model suggests two distinct channels in which wage volatility affects growth: a positive direct way and a negative indirect way. The direct effect stems from...