This paper empirically tests the principal-agent model prediction that the use of performance measures for incentive purposes is affected by the agent’s risk aversion. We find that the use of both accounting and market performance measures in executive compensation contracts decreases as the...

We analyse the impact of R&D cooperation on firm performance differentiating between four types of R&D partners (competitors, suppliers, customers, and universities & research institutes), and considering two performance measures: labour productivity and productivity in innovative (new to the...

This paper develops new methods for determining the cointegration rank in a nonstationary fractionally integrated system, extending univariate optimal methods for testing the degree of integration. We propose a simple Wald test based on the singular value decompositionof the unrestricted...

An often made distinction in the study of time in organizations is that between objective,linear, homogeneous, linear, measurable, Newtonian time, also called Chronos, andsubjective, non-linear, heterogeneous, experienced, event time, also designated as Kairos.These conceptions of time are...

Consider a situation in which a company sells several different items to a set of customers. However, the company is not satisfied with the current pricing strategy and wishes to implement new prices for the items. Implementing these new prices in one single step mightnot be desirable, for...

There is a growing body of research in economics that studies the consequences of time-inconsistent preferences. This paper introduces time-inconsistent preferences in a general equilibrium setting. We discuss how the standard notion of competitive equilibrium should be extended in order to...

The paper addresses the following question: how efficient is the market system in allocating resources if trade takes place at some prices $p$ that are not necessarily competitive? Even though there are many partial answers to this question, an answer that stands comparison to the rigor by which...

Network design and network synthesis have been the classical optimization problems intelecommunication for a long time. In the recent past, there have been many technologicaldevelopments such as digitization of information, optical networks, internet, and wirelessnetworks. These developments...

The telecommunications industry has experienced a series of dramatic changes since itsinception in the 1880s. Due to the latest liberalization and privatization wave in the world, the telecommunications industry has turned into a dynamic environment and is rapidly growing.In addition, the New...

This article discusses the notion of efficient statute law. The hypothesis that the common law develops towards efficiency is the organizing principle of the new law and economics as it originated at the University of Chicago School of Law. However, the hypothesis can be regarded as too limited....