This paper develops a model of the daily newspaper industry in order to provide a tentative explanation for the rise of free newspapers. This explanation is based on the growth of net advertising revenues per reader, i.e. of the difference between advertising revenue per reader and unit printing...

We analyze the optimal contract between a risk-averse manager and the initial shareholders in a two-period model where the manager's investment effort, carried out in period 1, and her current effort, carried out in period 2, both impact the second-period profit, so that it may be difficult to...

We study the optimal delegation problem which arises between the median voter (writer of the constitution) and the (future) incumbent politician when not only the state of the world and but also the politician's type (preferred policy) are the policy-maker's private information. We show that it...