This paper refers to herding behaviour as developed in Bikhchandani et al. (1992), Bannerjee (1992) and Choi and Scarpa (1994). We examine the behaviour of a potential customer who does not know how many of her predecessors decided not to purchase the product. We show that, ceteris paribus, a...

We adopt a novel variation of the traditional structure-conduct-performance modelling approach, looking at between, rather than within, industries to study the impact of changes in the bank market structure on the corporate performance of financial technology (fintech) firms using firm-level...

Advances in the field of economics and psychology have contributed greatly to the understanding of the supply of information when it affects the emotions and consequently the decisions made by two parties. Yet, these studies assume that the parties have identical utilities. In this article,...

We show that a rational expectations equilibrium need not be incentive compatible, need not be implementable as a perfect Bayesian equilibrium and may not be fully Pareto optimal, unless the utility functions are state independent. A comparison of rational expectations equilibria with core...

In the context of extensive form games, we are considering the relation between mixed and behavioural strategies. We look again at the famous Kuhn theorem and also discuss a result for games in which no path intersects any information set in more than one node. We apply the principle...

We show, by employing a density result for probability measures, that in games with a finite number of players and \infty-dimensional pure strategy spaces Nash equilibria can be approximated by finite mixed strategies. Given 0, each player receives an expected utility payoff /2 close to his Nash...