Showing 1 - 10 of 36
This paper offers an informational explanation for asset price booms and crashes. If market fundamentals change, but the length of this process of change is unknown, market participants try to learn about it by observing market outcomes. This learning generates a boom and a crash, which we call...
Persistent link: https://www.econbiz.de/10005504406
We analyse the impact of increased outside opportunities brought to consumers by access to a global market on local market performance under monopoly versus oligopoly. If consumers have to choose once where to shop we show that under all forms of organizing the local market, increased...
Persistent link: https://www.econbiz.de/10005498025
Expansion in mobile phone coverage has improved access to information throughout the developing world, particularly … within sub-Saharan Africa. The existing evidence suggests that information technology has improved market efficiency and … data from a farmer-level survey: we find that farmers owning mobile phones obtain more price information but do not engage …
Persistent link: https://www.econbiz.de/10011083580
quality information, price information, and horizontal match information. Equilibrium is unique whenever advertising is … information. For a given quality level, as a function of consumer visit costs, first quality information is disclosed, then price … information and then horizontal product information are added to the advertising mix. Some suggestive evidence is provided from …
Persistent link: https://www.econbiz.de/10011083652
information transmission. In the case of uniform tariff, we argue that a positive price-cap on the charge to content is optimal … (with no constrain on the consumer side). Proposing menus helps signaling useful information to consumers and therefore …
Persistent link: https://www.econbiz.de/10011083772
information and correlated between them. The principals benchmark their agents against each other by making the same offers in the …
Persistent link: https://www.econbiz.de/10011083946
Does information about rampant political corruption increase electoral participation and the support for challenger … parties? Democratic theory assumes that offering more information to voters will enhance electoral accountability. However, if … increased support for challengers and higher political participation. We provide experimental evidence that information about …
Persistent link: https://www.econbiz.de/10011084114
The paper contributes to the literature on corporate cash holdings by showing that there is a financial markets channel that affects corporations’ cash holdings. Leaning on the literature on stock price feedback to firm fundamentals, we advance the hypothesis that firms with more liquid stocks...
Persistent link: https://www.econbiz.de/10011084593
We study a stylized theory of the volatility reduction in the U.S. after 1984 - the Great Moderation - which attributes part of the stabilization to less volatile shocks and another part to more difficult inference on the part of Bayesian households attempting to learn the latent state of the...
Persistent link: https://www.econbiz.de/10005048557
We study the impact of information revelation on efficiency in auctions. In a constrained-efficient mechanism, i.e. a … mechanism that is efficient subject to the incentive-compatibility constraint, any additional information available to bidders …-price sealed-bid auction, revelation of information might lead to efficiency losses. …
Persistent link: https://www.econbiz.de/10005067415