Publications

Whose responsibility are children? In twenty-first-century America, the answer too often is “their parents.” Although politicians and pundits frequently make pious pronouncements calling children “our best hope,” “our future,” and “our nation’s…

This paper describes a dynamic analysis of technological advances among hard disk drive (HDD) manufacturers in the areal density of their products across the history of the industry. The study provides (additional) evidence supporting a view of…

In the context of introducing new products around the world, it is important to understand the relative attractiveness of various countries in terms of maximum penetration potential and diffusion speed. In this paper, we examine these market…

In the context of introducing new products around the world, it is important to understand the relative attractiveness of various countries in terms of maximum penetration potential and diffusion speed. In this paper, we examine these market…

The Hribar and Jenkins study (2004, this issue) investigates the effect of accounting restatements on firms’ cost of equity capital. The authors document that the loss of market value associated with restatement announcements is attributable not…

Within a rational general equilibrium model in which agents care only about personal consumption, we consider a setting in which, due to borrowing constraints, individuals endowed with local resources underparticipate in financial markets. As a…

This paper uses an empirical dynamic oligopoly model of the commercial aircraft industry to analyze industry pricing, industry performance, and optimal industry policy. A novel feature of the model with respect to the previous literature is that…

We present a framework to measure empirically the size of indirect network effects in high-technology markets with competing incompatible technology standards. These indirect network effects arise due to inter-dependence in demand for hardware…

This paper argues that performance should be investigated as an independent variable. Using survey data of over 400 managers responsible for the main export ventures of Portuguese SMEs (small and medium exporters), this paper shows that…

Book Overview: The effectiveness of market discipline — the strong built-in incentives that encourage banks and financial systems to operate soundly and efficiently — commands much attention today, particularly in light of recent…

Entrepreneurship clusters in regions that have a favourable business environment or habitat. Some entrepreneurs succeed, against all odds, in less favourable habitats; however, these cases are not the norm and do not give rise to clusters of…

We develop a new approach to measuring changes in consumer welfare due to changes in the price of owner-occupied housing. In our approach, an agents welfare adjustment is defined as the transfer required to keep expected discounted utility…

Managers often engage in forecast updating with the expectation that forecast updating reduces expected shortage and inventory costs. One undesirable effect of forecast updating is that it may lead to the bullwhip effect, a phenomenon where the…

Which of the democratic checks and balances opposition parties, the judiciary, a free press is the most critical? Peru has the full set of democratic institutions. In the 1990s, the secret-police chief Montesinos systematically undermined them…

A manufacturer writes supply contracts with N buyers. Then, the buyers invest in innovation, and the manufacturer builds capacity. Finally, demand is realized, and the firms renegotiate the supply contracts to achieve an efficient allocation of…

After entering into supply contracts, firms often later renegotiate the terms of those contracts. For example, firms that obtain market demand information after signing supply contracts may benefit by renegotiating the contracts to allow buyers…