Publications

The presence of noise in compliance times may have a critical impact on the selection of new technological standards. A technically superior standard is not necessarily viable because an arbitrarily small amount of noise may render coordination…

The authors propose a new approach for measuring, analyzing, and predicting a brands equity in a product market. Brand equity is defined as the incremental contribution ($) per year obtained by the brand in comparison to the underlying product (…

This article uses unique data from the London Stock Exchange to examine how trader anonymity and market liquidity affect dealers’ decisions about where to place interdealer trades. During our sample period, dealers could trade with each other in…

Consider a production system which rapidly assembles many different products from inventories of modular components. Customer orders for each product arrive according to a renewal process with known rate and variance. Orders are lost if not…

Sociological researchers have studied the consequences of strong categorical boundaries, but have devoted little attention to the causes and consequences of boundary erosion. This study analyzes the erosion of categorical boundaries in the case…

We analyze changes in the composition of top management teams when a key member of the team (the CEO) departs. We find that the probability of non-CEO top manager turnover increases markedly around times of CEO turnover. Further, the magnitude of…

Collusion under imperfect monitoring is explored when firms’ prices are private information and their quantities are public information; an information structure consistent with several recent price-fixing cartels such as those in lysine and…

Milton Friedman argued that the social responsibility of firms is to maximize profits. This paper examines this argument for the economic environment envisioned by Friedman in which citizens can personally give to social causes and can invest in…

We show that institutional shareholders of acquiring companies on average do not lose money around public merger announcements, because they also hold substantial stakes in the targets and make up for the losses from the former with the gains…

We reconsider the identification and estimation of Gorman‐Lancaster‐style hedonic models of demand for differentiated products in the spirit of Sherwin Rosen. We generalize Rosen’s first stage to account for product characteristics that are not…

Marketers have been challenged by proponents of individual (one-to-one) marketing to shift from focusing on market segments to making individually customized offers. Building on current knowledge regarding the construction of customers’…

Do switching costs reduce or intensify price competition if firms charge the same price to old and new consumers? I study 800-number portability to determine whether switching costs intensify price competition under a single price regime. Before…

The connected uniformly hyperstable sets of a finite game are shown to be precisely the essential components of Nash equilibria.

The connected uniformly-hyperstable sets of a finite game are precisely the essential components of Nash equilibria.

Five myths are debunked here. It is not true that: the return investors earn in an actively managed fund measures the skill level of the manager; the average active manager is not skilled and therefore does not add value; if managers are skilled…