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Here, we argue that the commercial for-profit insurance companies act more like a memory-less system in a way that the … conventional commercial counterpart. The objective of this study is to quantify the extent of profit made by the commercial … insurance companies born out of the premium after meeting up operating expenditures and claim settlements and how this profit …
Persistent link: https://www.econbiz.de/10013219882
Azevedo and Gottlieb [2017] (AG) define a notion of equilibrium that always exists in the Rothschild and Stiglitz [1976] (RS) model of competitive insurance markets, provided costs are bounded. However, equilibrium predictions are sensitive to assumptions made about the upper bound of cost:...
Persistent link: https://www.econbiz.de/10012840572
This paper explores the concept of profit sharing as a prospective source of labour income. The paper suggests a …
Persistent link: https://www.econbiz.de/10012954902
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This note investigates the possibility of profit raising entry in network industries where firms follow Corporate … conventional wisdom and shows another channel the preceding literature has so far not explored for the possibility of a profit …
Persistent link: https://www.econbiz.de/10011764906
different firms and firms employing cooperative workers make strictly positive profits. Profit differences across firms persist …
Persistent link: https://www.econbiz.de/10003784391
We analyze competitive credit markets with asymmetric information in which borrowers seek financing for either positive or negative net present value projects. The striking result is that there always exists an equilibrium where investment is efficient, while competitive lenders make strictly...
Persistent link: https://www.econbiz.de/10012834214
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