Working Papers

We show that sales quotas play an essential role in compensation schemes for multi-territory salesforces. A quota-based compensation scheme (i.e., salary plus commission proportional to sales beyond the quota) has the advantage of being simple.…

We study a class of non-cooperative games that includes many standard oligopoly games, macro economic coordination games, network and production externality games, and others. For these games, the sets of rationalizable strategies, pure Nash…

Abstract not available.

A series of recent papers have attempted to investigate the issue of how to compensate a salesforce using the agency theory paradigm. These investigations hypothesize various factors to affect the form of the compensation plan defined in terms of…

A potentially serious threat to the validity of estimates of predictor variable impact in logistic models of brand choice is the omission of important explanatory variables from the empirical analysis. An obvious omission from most previous…

This paper presents a stochastic differential formulation of recursive utility. Sufficient conditions are given for existence, uniqueness, time consistency, monotonicity, continuity, risk aversion, concavity, and other properties. In a “smooth”…

This paper considers the possibility that certain traders in a financial market preannounce the size of their order prior to trading, a practice that has come to be known as “sunshine trading.” Assuming that preannouncement is made by some of the…

A laboratory experiment examines factors affecting evaluations of proposed extensions varying in similarity from a core brand that has or has not already been extended into other product categories. Specifically, the perceived quality of the core…

We establish conditions under which cooperation will evolve in conflict situations modelled as tournaments of iterated Prisoner’s Dilemma games. Though no strategies that are less than half of the population turn out to be stable even in the…

The experiment reported here concerns an evaluator’s judgment of the quality of another person’s performance level subsequent to that performer’s own self-evaluative remarks. Specifically, we explore the attributional consequences of biased…

This is an overview of general equilibrium theory with financial markets,emphasizing the theory of valuation of securities.

Abstract not available.

This paper develops a model of vintage human capital in which each technology requires vintage specific skills. A stationary competitive equilibrium is defined, shown to exist, and be Pareto optimal. The stationary equilibrium is characterized…

In the last decade, there has been a resurgence of interest in problems of cooperation, stimulated largely by Axelrod’s work. Using an innovative tournament approach, Axelrod found that a simple strategy, Tit-for-Tat (TFT), was most successful in…

Abstract not available.

Efficiency wage theorists explicitly recognize effort as a component of labor productivity. Where monitoring is costly or difficult, incentives to work are thought to be provided by higher than market clearing wages, unemployment, or both. Higher…

This paper updates and extends Green and Srinivasan’s (1978) review of conjoint analysis. In addition to a discussion of several new developments using the GS framework, we consider alternative approaches for measuring preference structures in…

In this paper, we study the effectiveness of cooperative advertising arrangements as a means to improve channel coordination. We analyze two types of cooperative advertising arrangements, lump sum payments and constant percentage payments, and…

The findings from a laboratory experiment supported three research propositions concerning the effects of processing goals at ad exposure and retrieval cues present during later recall of communication effects and ad and brand judgments. The…

Abstract not available.