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, using rules and task guidelines, and ex post coordination, using communication and broad job assignments. It shows that: (i …This paper endogenizes coordination problems in organizations by allowing for both ex ante coordination of activities … coordination. In particular, specialization is often non-monotonic in the importance of coordination. (ii) Organizations exhibit …
Persistent link: https://www.econbiz.de/10005497860
-unit managers’ authority. Realizing synergies then involves a tradeoff between motivation and coordination. Motivating managers …
Persistent link: https://www.econbiz.de/10005114409
in an experiment where actions are strategic substitutes. The game theoretic basis for our experiment is the model of … play in networks is to some extent boundedly rational, in the sense that coordination is influenced by local and individual …
Persistent link: https://www.econbiz.de/10005136539
We examine strategic information transmission in a controlled laboratory experiment of a cheap talk game with one … communication between the sender and the receiver in a way consistent with the theoretical predictions. Deviations from the …
Persistent link: https://www.econbiz.de/10008784698
The paper provides an account of the current global economic situation, outlook and policy options. Medium-term prospects are mediocre and fraught with considerable downside risk. Fiscal and monetary policy options for the main industrial countries to improve global economic performance are...
Persistent link: https://www.econbiz.de/10005791563
The theory of optimal currency areas states that a single currency zone should have symmetry of shocks and structures across regions. Research on monetary union in Europe has either assumed these conditions to hold close enough not to cause problems, or has focussed on asymmetries in shocks. But...
Persistent link: https://www.econbiz.de/10005791720
In this Paper, we provide a novel rationale for credit ratings. The rationale that we propose is that credit ratings can serve as a coordinating mechanism in situations where multiple equilibria can obtain. We show that credit ratings provide a ‘focal point’ for firms and their investors. We...
Persistent link: https://www.econbiz.de/10005504472
We explore the international spillovers from fiscal policy shocks via trade in Europe. A fiscal expansion stimulates domestic activity, which leads to more foreign exports and, hence, higher foreign output. To quantify this, we combine a panel VAR model in government spending, net taxes and GDP...
Persistent link: https://www.econbiz.de/10005114249
The aim of this Paper is to demonstrate that advertising can have an important function in markets with consumption externalities, apart from its persuasive and informative roles. We show that advertising may function as a device to coordinate consumer expectations of the purchasing decisions of...
Persistent link: https://www.econbiz.de/10005114320
The paper reviews and evaluates in a non-technical manner the economic and political arguments for and against the two fiscal convergence criteria written into the Treaty of Maastricht and its Protocols. In order to qualify for full membership in Economic and Monetary Union (EMU), net general...
Persistent link: https://www.econbiz.de/10005123517