We investigate a competitive labor market with team production. Workers differ in their motivation to exert team effort and types are private information. We show that there can exist a separating equilibrium in which workers self-select into different firms and firms employing cooperative...

This paper investigates inter-industry wage differentials in Belgium, taking advantage of access to a unique matched employer-employee data set covering all the years from 1999 to 2005. Findings show the existence of large wage differentials among workers with the same observed characteristics...

At the firm level, revenue and costs are well measured but prices and quantities are not. This paper shows that because of these data limitations estimates of returns to scale at the firm level are for the revenue function, not production function. Given this observation, the paper argues that,...

In this paper, we characterize the relative importance of two sources of fundamental market-wide news—large firms’ earnings announcements and macroeconomic releases. Our investigation is motivated by growing concerns in the financial community about the increasing impact of individual...

There are no apparent academic or theoretical positions; however, Macroeconomic earnings are generally perceived to result from overall corporate performance or merit. This perception appears largely due to the fact that improvements by an individual company generally result in, and merit,...

This paper extends the work of prior search in studying the incremental information captured by the DuPont components, changes in asset turnover (∆ATO) and changes in operating profit margin (∆PM), in forecasting the changes in return on net operating assets (∆RNOA) one year ahead. This...

This short note prepared for an OECD meeting in June 2021 examines several antitrust issues involving analysis of potential competition. While the analysis is not new, it is still useful to collect them together in a unified fashion to show how they are related. In this regard, all the analysis...

A number of recent empirical studies have rejected the hypothesis that forward exchange rates are unbiased forecasts of future spot exchange rates. This result implies that there have been opportunities for speculative profit during the post Bretton Woods period. Observers of the floating rate...

There is a significant ever-growing controversy about the role of R&D in the corporate decision-making structure for the US markets. R&D results have been found to be lack-luster creating erosion of trust in the value of R&D in American corporate world. This study sheds light on the relationship...

The social and environmental costs imposed by business corporations on society are significant and, as a society, we are increasingly concerned about how to mitigate these impacts. It is this concern and the apparent inability of government to take decisive steps that has made the question of...