The model for evaporation or condensational growth of a monodisperse binary droplet population is presented. Three methods for estimating steady state gas phase mass fluxes are compared. The uncoupled model neglects the coupling between mass transfer rates; the film theoretical model is based on...

We show that two horizontally differentiated banks can implement separating equilibria in markets for bank loans by using non-linear price schedules. The optimal strategies of the banks induce 'high-risk' borrowers to patronize their preferred, that is closer, bank. 'Low-risk' borrowers accept...

We show that risk-based capital requirements can eliminate the market failure, caused by asymmetric information between entrepreneurs and banks, which distorts the efficient allocation of low-risk and high-risk investment projects among entrepreneurs. If project success probabilities decline in...

We study the determinants of the skill premium in a matching model where wages are set in bilateral meetings between workers and firms. As a novelty, disagreeing parties do not have to separate immediately, but they may opt to wait for competing agents to arrive. This waiting option is...

We argue that a transaction tax is likely to amplify, not dampen, volatility in foreign exchange markets. Our argument stems from the decentralized trading practice and the presumable discrepancy between 'informed' and 'uninformed' traders' valuations. Given that the informed valuations are...