We present an efficiency wage model in which workers'' effort depends on the level and on the growth rate of their wage relative to an alternative wage. Using data for four countries (US, UK, FR, GY), the implications of the model are examined and are found to be in accordance with the...

We consider general two-sided matching markets, so-called matching with contracts markets as introduced by Hatfield and Milgrom (2005), and analyze (Maskin) monotonic and Nash implementable solutions. We show that for matching with contracts markets the stable correspondence is monotonic and...

Dynamic exchange economies with uncertainty are considered in which information is released over infinite time. The strong sequential core of such an economy consists of those consumption processes where no coalition of agents wishes to deviate at any moment for the rest of time. Comparable to...

Two impatient players bargain about the division of a pie under a standard bargaining protocol in discrete time with time-invariant recognition probabilities. Instantaneous utility is linear, but players discount the future by a constant factor. Before bargaining starts, a player can commit to a...

Coherent measures of risk defined by the axioms of monotonicity, subadditivity, positive homogeneity, and translation invariance are recent tools in risk management to assess the amount of risk agents are exposed to. If they also satisfy law invariance and comonotonic additivity, then we get a...

This paper is concerned with the number of profiles at which a nondictatorial social choice function is manipulable. For three or more alternatives the lower bound is derived when the social choice function is nondictatorial and unanimous. In the case of three alternatives the lower bound is...

Over de verhouding tussen overheid en markt wordt steeds vaker de grootst mogelijk onzin verkondigd. Dat gebeurt niet alleen in de universitaire (economische) wetenschap, maar vooral ook in de politieke wereld van de beleidsmakers. Dat heeft fatale gevolgen voor ons wetenschappelijk denken over...

In this paper we consider the p-coverage problem on the real line. We first give a detailed description of an algorithm to solve the coverage problem without the upper bound p on the number of open facilities. Then we analyze how the structure of the optimal solution changes if the setup costs...

In this paper we describe the problem of routing trains through a railway station. This routing problem is a subproblem of the automatic generation of timetables for the Dutch railway system. The problem of routing trains through a railway station is the problem of assigning each of the involved...

The strong sequential core for two-stage economies with a possibly incomplete set of assets in period zero and trade in commodities in period one consists of those goods allocations that are in the classical core and moreover, after realization of the state of nature, in the core of the economy...