Publications

This paper documents that hedge funds did not exert a correcting force on stock prices during the technology bubble. Instead, they were heavily invested in technology stocks. This does not seem to be the result of unawareness of the bubble: Hedge…

Two studies examined unconscious racial stereotypes of decision makers in the juvenile justice system. Police officers (Experiment 1) and juvenile probation officers (Experiment 2) were subliminally exposed to words related to the category Black…

How does public opinion affect presidential policymaking? We address this issue by testing a diverse set of hypotheses with data concerning a set of individual policies across time. In particular, the data revolve around presidential budgetary…

Building a strong supply chain is essential for business success. But when it comes to improving their supply chains, few companies take the right approach. Many businesses work to make their chains faster or more cost effective, assuming that…

Inspired by potential theoretical linkages between nonconscious priming work in psychology and the anthropological emphasis on the impact of material culture, five studies were conducted to investigate the role of implicitly presented material…

The compromise effect denotes the finding that brands gain share when they become the intermediate rather than extreme option in a choice set. Despite the robustness and importance of this phenomenon, choice modelers have neglected to incorporate…

This review is not structured in the usual way — a departure from tradition that merits an explanation. Literature reviews generally have a linear, often chronological structure, with attention to “who was first?” The tone is apparently objective…

We define the knowledge economy as production and services based on knowledge-intensive activities that contribute to an accelerated pace of technical and scientific advance, as well as rapid obsolescence. The key component of a knowledge economy…

This paper illustrates why firms might choose to implement stock option plans or other pay instruments that reward “luck.” I consider a model where adjusting compensation contracts is costly and where employees’ outside opportunities are…

The impact of congruence between social and knowledge ties on performance in diverse groups was examined. Congruence occurs when group members who are socially tied share the same information and a stranger has any unique information.…

This paper examines transfer pricing in multinational firms when individual divisions face different income tax rates. Assuming that a firm decouples its internal transfer price from the arm’s length price used for tax purposes, we analyze the…

We examine the relation between the fees paid to auditors for audit and non-audit services, and the choice of accrual measures for a large sample of firms. Using our pooled sample, we find that the ratio of non-audit fees to total fees has a…

Despite the acute shortage of cadaveric organs for kidney transplantation, more than 10% of cadaveric kidneys are discarded each year because of marginal quality. Transplant recipients’ access to these kidneys and to information about their…

We investigate factors associated with firms’ decisions in 2002 and early 2003 to recognize stock-based compensation expense under Statement of Financial Accounting Standards (SFAS) No. 123. We find that the likelihood of SFAS 123 expense…

Periods of social and political change often are marked by struggles among competing ideologies. Given the importance of formal organizations to such struggles, we propose that competitions among ideologies can be understood and modeled as an…

We consider an infinitely repeated Bertrand game, in which prices are publicly observed and each firm receives a privately observed, i.i.d. cost shock in each period. We focus on symmetric perfect public equilibria, wherein any “punishments” are…

(This article originally appeared in Management Science, April 1997, Volume 43, Number 4, pp. 546–558, published by The Institute of Management Sciences.)

Consider a series of companies in a supply chain, each of whom orders from…

How do people react to those who have helped them? The authors propose that a recipient’s evaluation of a helper’s intentions and the recipient’s own attitudes about future interactions with the helper depend partly on the recipient’s perceptions…