Using data from nationwide surveys of provincial institutions and private manufacturing small medium enterprises, this study provided the first evidence of the impact of provincial institution quality and firms' participation in and intensity of corrupt activities on firm productivity in...

This study has provided the first econometric evidence that the loss of land (due to urbanization and industrialization) has no impact on the probability of a household belonging to a particular income group (poor, middle class or rich) in Hanoi's peri-urban areas, Vietnam. The result also...

Several recent papers argue that contracts provide reference points that affect ex post behavior. We test this hypothesis in a canonical buyer-seller relationship with renegotiation. Our paper provides causal experimental evidence that an initial contract has a highly significant and...

We present an international trade model with multiproduct firms. Firms are heterogeneously endowed with two types of capabilities that jointly determine the trade-off within firms between managing a large portfolio of products and producing at low marginal cost. The model can explain many of the...

This paper reports data from a laboratory experiment on two-period moral hazard problems. The findings corroborate the contract-theoretic insight that even though the periods are technologically unrelated, due to incentive considerations principals can benefit from offering long-term contracts...

We study a continuous-time game of strategic experimentation in which the players try to assess the failure rate of some new equipment or technology. Breakdowns occur at the jump times of a Poisson process whose unknown intensity is either high or low. In marked contrast to existing models, we...