When selling goods like wireless spectrum or electricity contracts, auction designers often opt for core-selecting mechanisms -- i.e., auctions that induce outcomes in the core -- in order to balance revenue and efficiency goals. But increasingly, auctions -- such as the FCC's 2016-17 Incentive...

This paper studies how the real interest rate affects the (mis)allocation of capital in a small open economy characterised by asymmetric information in the financial market. Low interest rates accompanied by low entrepreneurial wealth allow unprofitable firms to enter the pool of borrowers. This...

We consider policy distortions in a model where plants face idiosyncratic productivity shocks that evolve following a Brownian motion. Introducing idiosyncratic shocks into the model implies that plants have non-constant operating profits and as a result there is an endogenous exit margin and...

We study the allocation of indivisible objects under the general endowment structures proposed by Pápai (2000) – the consistent inheritance structures – which specify the initial endowment of objects and also the inheritance of remaining objects after subsets of agents are matched and...

Based on new datasets collecting financial statements and off-balance sheet data on a wide number of medium and large Italian enterprises between the 1970s and the 2010s, the work aims at contributing to the debate about the productivity growth gap that affected the Italian industry, as compared...

During the recent past, passenger air transport has been recovering from its significant retraction during the Covid-19 pandemic. If the recent significant drop in air traffic due to the pandemic acted as an external mitigating factor to airport traffic congestion in several major airports...

We study two variants of an allocation problem where two parties lay proportional claims to an asset, and an arbiter has a final say on allocation. The two variants we study vary by the incentives to the arbiter. In one variant, the arbiter is incentivized proportional to the payoff to the...

This paper aims to measure the gross output loss due to misallocation of resources in Mexico during 2008-2018 and to study what determines this resource misallocation. To do so, I use an extension of Hsieh and Klenow (2009) and Mexican Economic Censuses. Alternatively, I estimate resource...

The disparities in cross-country labor productivity are greater in agriculture than in other industries. I propose that the misallocation of female talent across sectors distorts productivity. I formalize the theory by using a general equilibrium Roy model with gender-specific frictions. If...