This paper studies banks' competitive behavior on the deposit side of the Italian retail banking industry. We use a structural model to estimate demand for deposit services and test several supply models. We find that both the competitive, differentiated product Bertrand and the perfectly...

Reputation is critical to foster trust in online marketplaces, yet leaving feedback is a public good that can be under-provided unless buyers are rewarded for it. Signaling theory implies that only high quality sellers would reward buyers for truthful feedback. We explore this scope for...

We investigate an informal yet important mechanism in the private equity industry that helps to reduce uncertainty: relationship building. Based on a large sample of private equity funds over the 1980-2010 period, we find that the general partners strategically allocate good funds to loyal...

This paper investigates the impact of the unique vehicle quota system of Shanghai, China, on two Chinese markets of passenger vehicles. The empirical findings suggest that conditional on purchase of the license quota, consumers intend to purchase high-end vehicles with high price since the...

The standard merger simulation methods, which measure the effect of the change in ownership on unilateral pricing incentives, solely focus on price but do not generally provide an accurate forecast of price (Peters, 2006; Weinberg and Hosken, 2008). The prediction errors on price can come from the...