In an economy with firm-specific human capital, it is shown that (i) a distribution of nonlabor income will generally induce a distribution of net returns to specific investments; (ii) at the individual level nonlabor income and net returns will be positively related over some range and...

This article is about disclosure of quality. The question that it seeks to answer is: Does the free market offer enough incentive for business to disclose? The article concludes that whether information is of purely private value or not, more than the socially-optimal amount of disclosure takes...

Models of firms' location in new markets, and certain repeated games have the feature that players must make location decisions (either in geographical space or in product-characteristics space) in an uncertain environment and without the precise knowledge of where other entrants will locate....