This paper studies second-degree price discrimination in matching markets, that is, in markets where the product sold by the monopolist is access to other agents. In order to investigate the optimality of a large variety of pricing strategies, we allow for any many-to-many matching rule that...

We study how the heterogeneity of information impacts the efficiency of the business cycle and the design of optimal fiscal and monetary policy. We do so within a model that features a standard Dixit-Stiglitz demand structure, introduces dispersed private information about the underlying...

This paper develops a novel theory of the origins of fluctuations. This theory dispenses with the dubious notions of exogenous disturbances to technologies, preferences, or mysterious wedges. Instead, it points out the central role that self-fulfilling expectations can play in shaping short-run...