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Consider a two-product firm that decides on the quality of each product. Product quality is unknown to consumers. If the firm sells both products under the same brand name, consumers adjust their beliefs about quality subject to the performance of both products. We show that if the probability...
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reduces the incentives to exert effort in R&D activities. Then, drawing on the signaling role of patents highlighted by the …
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We examine what an applicantś vita signals to potential employers about her willingness to cooperate in teams. Intensive social engagement may credibly reveal that an applicant cares about the well-being of others and therefore is less likely to free-ride in teamwork situations. We find that...
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in a signaling-extended prisoner's dilemma. We identify a new type of evolutionary equilibrium - a transitional … behavior, preferences, and signaling. We thereby offer an explanation for persistent regularities observed in laboratory and … signaling costs between 'conditional cooperators' and 'opportunists.' Indeed, and quite surprisingly, a transitional equilibrium …
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' later signaling their private information to rivals. Due to signaling, equilibrium prices are distorted, and so while firms …, compared with firms that do not attempt to manipulate rivals' beliefs, signaling firms acquire less precise information. An …
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