We develop a theory of a firm in an incomplete contracts environment which decides on the complexity, the organization, and the global scale of its production process. Specifically, the firm decides i) how many intermediate inputs are simultaneously combined to a final product, ii) if the...

This paper highlights the following unique characteristic of the piped water market: Consider two firms that supply different water qualities into the same net. The mixed water quality of both firms defines the fixed costs of the net. These costs decrease with a higher water quality. Our model...

In-memory technology will radically transform the world of enterprise information systems Ðaccording to our enterprising quartet of Tim, Stephan, Martin, and Christian. Their article provides a comprehensive description of the elements of in-memory technology and the ways it might improve the...

Suedekum J. (2006) Concentration and specialization trends in Germany since re-unification, Regional Studies 40, 861-873. This paper describes the development of regional specialization and geographical concentration in Germany from 1993 to 2001. It finds compelling evidence neither for a...

S<sc>uedekum</sc> J., W<sc>olf</sc> K. and B<sc>lien</sc> U. Cultural diversity and local labour markets, <italic>Regional Studies</italic>. The diversity of nationalities of foreign workers in the German labour market has increased considerably over the period 1995-2006. This paper investigates the effects of this diversity for native...

Using novel data on the foundation dates of more than 10,000 American Census places, we show that older cities in the US tend to be larger than younger ones. To take this nexus between city age and city size into account, we introduce endogenous city creation into a dynamic economic model of an...

We develop a two-country model with monopolistic competition and heterogeneous firms where entrants pay a sunk cost and randomly draw their productivity level. Governments collect lump-sum taxes and subsidize these sunk entry costs for the domestic entrepreneurs. One motive for this policy,...