In this paper we provide a novel micro-foundation for outcomes commonly regarded as indicating a ``hot'' real estate market. We present a simple auction model in which list prices partially commit the seller, requiring acceptance of the highest offer at or above the list price but allowing...

The physician induced demand literature finds that doctors tend to overtreat patients for financial gain. We analyze this phenomenon when patients are rationally skeptical of doctor's motives and can reject a proposed treatment. We find the classic physician induced demand approach understates...

A principal must choose an agent to perform a task and faces a tradeoff in deciding when to hold a selection contest. Agents' types evolve and thus a later contest is more accurate. However, an agent's effort in the contest diminishes her task performance and the less time until the task, the...

In some markets consumers seek exclusive consumption experiences, yet in these markets businesses sometimes market their goods widely and at low prices during an introduction period. We use a two-period game-theoretic model to provide a signaling explanation for this phenomenon. In our model,...