This paper studies the effects of hedge disclosure requirements on corporate risk management and product market competition. The analysis is based on a simple model of market entry and shows that incumbent firms engage in risk management when these activities remain unobserved by outsiders. The...

[Einführung] Die Erhaltungsgesetze sind bedeutende Gesetzmäßigkeiten in der Warteschlangentheorie (oder Bedienungstheorie) [4], [5]. Sie stellen eine invariante Gleichung in der breiten Klasse der Abfertigungsdisziplinen dar. Die Abfertigungsdisziplinen sind die Regeln, welche die Reihenfolge...

We analyze a unique dataset from a survey of CFOs of diversified firms to examine four areas of diversification and internal capital markets: causes and financing effects of corporate diversification, capital budgeting processes, capital investment methods, and reallocation policies in internal...

We study how institutional design in influences moral transgression. People are heterogeneous in their feelings of guilt and can share guilt with others. Institutions determine the number of supporters necessary for immoral outcomes to occur. With more supporters required, every supporter can...

The outcomes of the 2013 German Bundestag (federal parliament) election are analyzed from the viewpoint of direct democracy. For this purpose, the party positions on 36 topical issues are compared with the results of public opinion polls, and the party and coalition indices of popularity (the...

This paper uncovers a novel mechanism by which bubbles crowd in capital investment. If capital is initially depressed by a binding credit constraint, injecting a bubble triggers a savings glut. Higher returns in a new bubbly equilibrium attract additional investors who expand investment at the...

Judgement aggregation is a model of social choice in which the space of social alternatives is the set of consistent evaluations (views) on a family of logically interconnected propositions, or yes/no-issues. Yet, simply complying with the majority opinion in each issue often yields a logically...

Sequential majority voting over interconnected binary propositions can lead to the overruling of unanimous consensus. We characterize, within the general framework of judgement aggregation, under what circumstances this happens for some sequence of the voting process. It turns out that the class...

[Statement of the problem] The present work considers the problem of investment portfolio risk estimation, including dynamic adjustment for each new transaction. Any Bank portfolio has a complex structure. It consists of stocks, bonds and a set of derivative securities. A portion of bonds and...

This paper investigates empirical evidence on the linkage between entrepreneurial aging of the workforce and firm growth. More precisely, it aims to analyse the impact of aging on employment growth in the context of extreme growth events. Basically, the study is conducted to capture the overall...