This paper studies a risk-averse insider's reaction to mandatory disclosure regulations. In particular, we examine the effects of disclosure on price efficiency and market liquidity. Contrary to what people generally believe, mandatory disclosure may lead to less efficient prices and less liquid...

We analyze the economic costs of national security related border delays in a Baumol-Tobin inventory theoretic framework. We show that there are social costs induced by behavioural responses to the delays, in addition to time costs at the border.