Capitation models have been suggested as an alternative to funding methods based on historical utilization patterns. Capitation funding distributes resources to regions or programs according to their population, adjusted for the age and gender composition and relative need. The most commonly...

This note explores endogenous rivalrous money supply by different generations of an overlapping generations economy. Money (gold) is intrinsically useless but is costly to create. The authors show how a government representing the young has an incentive to tax its constituency to mine gold to...

We develop a model of mutual fund manager investment decisions near the end of quarters. We show that when investors reward better performing funds with higher cash flows, near quarter-ends a mutual fund manager has an incentive to distort new investment toward stocks in which his fund holds a...

The authors consider a monopolist who can commit to a price path when selling a good for which individual consumers demand at most one unit. Only if the monopolist can also commit to destroying unpurchased stock and the timing of stock release, can she earn more than a static monopolist. This...

This paper explains why a software manufacturer may permit limited piracy of its software. Piracy can be viewed as a form of price discrimination in which the manufacturer sells some of the software at a price of zero. In the presence of significant network externalities for the software, it may...

An entrepreneur wishes to communicate private information to investors to secure a desirable financial contract. The entrepreneur can signal project type through its choice of capital structure or can directly reveal sufficient information so that its type is known. Information directly revealed...