Publications

This paper introduces the subject of private politics and presents illustrative models using as the context a conflict between an activist and a firm. Private politics addresses situations of conflict and the resolution of that conflict without…

After a string of years in which security analysts top stock picks significantly outperformed their plans, the year 2000 was a disaster. During that year the stocks least favorably recommended by analysts earned an annualized market-adjusted…

We explore the relation between certain multiple-sender cheap-talk signaling games and the corresponding screening or mechanism design games. The existence of fully-revealing equilibria in the signaling game implies the existence of implementable…

In four experiments, we show that goals associated with approach and avoidance needs influence persuasion and that the accessibility of distinct self-views moderates these effects. Specifically, individuals with an accessible independent self-…

According to McGuire and McGuire’s (1991) “rationalization postulate,” people should adjust their judgments of the desirability of a future event to make them congruent with its perceived likelihood. In a political survey administered to 288…

When countries open their stock markets to foreign investors, firms that become eligible for purchase by foreigners (investible) are repriced according to the difference in the covariance of their returns with the local and world market. An…

This paper considers the question of tacit collusion in repeated auctions with independent private values and with limited public monitoring. McAfee and McMillan show that the extent of collusion is tied to availability of transfers. Monetary…

We show that the butterfly ballot used in Palm Beach County, Florida, in the 2000 presidential election caused more than 2,000 Democratic voters to vote by mistake for Reform candidate Pat Buchanan, a number larger than George W. Bush’s certified…

This paper examines the effects on the informativeness of software companies financial statements of limiting the amount of discretion with respect to software revenue recognition following the issuance of Statement of Position 91-1 in 1992. The…

To the best of our knowledge, the international business literature has been examining performance exclusively as a dependent variable. In this paper we argue that performance should also be investigated as an independent variable. Using survey…

A theory of decision-making is proposed that speaks to Herbert Simon’s methodological critique of economics without resorting to excessive reductionism. Formally, the new theory removes the Contraction axiom of conventional choice theory (which…

This paper examines the dynamic role of financial resources-available through rounds of venture capital financing-on the growth strategies of startups. We investigate three different roles and their evolution over time. 1) We examine whether…

Four studies investigated whether people feel inhibited from engaging in social action incongruent with their apparent self-interest. Participants in Study 1 predicted that they would be evaluated negatively were they to take action on behalf of…

Various industries are marked by rapid technological change and increasingly global competition. We explain how such developments provide a context for “Red Queen” competition, where organizational learning and competition accelerate each other…

This paper explains that value relevance research assesses how well accounting amounts reflect information used by equity investors, and provides insights into questions of interest to standard setters. A primary focus of financial statements is…

Drawing from social categorization theory, we found that greater demographic heterogeneity led to group norms emphasizing lower cooperation among student teams and officers from ten business units of a financial services firm. This effect faded…

We survey modern models of delegation that assume a boss and a subordinate pursue their own goals. Among the major themes covered are the following: the conditions under which the boss will prefer to delegate versus those in which she will prefer…

How best to predict Australian federal election results? This article analyses three forecasting tools – opinion polls, economic models, and betting odds. Historically, we find that opinion polls taken close to the election are quite accurate,…