Showing 1 - 10 of 194
Revealed preference arguments are commonly used when identifying models of both single-agent decisions and non-cooperative games. We develop general identification results for a large class of models that have a linearly separable payoff structure. Our model allows for both discrete and...
Persistent link: https://www.econbiz.de/10014436999
Building on theories of international relations, we analyze how mistrust (uncertainty about an adversary's preferences or capabilities), misperception (imperfect observation of an adversary's actions), and misunderstanding (non-degenerate higher-order beliefs) can lead to conflict and drive its...
Persistent link: https://www.econbiz.de/10014372438
Just and efficient allocations of charity have attracted much academic and media attention. The sources of inefficiency and unjust are important to understand yet understudied. Our study aims to fill this void by directly modelling the victims' market in a collective reputation framework. By...
Persistent link: https://www.econbiz.de/10015194973
We study how people think others update their beliefs upon encountering new evidence. We find that when two individuals share the same prior, one believes that new evidence cannot systematically shift the other's beliefs in either direction (Martingale property). When the two have different...
Persistent link: https://www.econbiz.de/10015171664
We use response curves in a repeated game to analyze key aspects of mutual deterrence: escalation, de-escalation, incomplete deterrence, and deterrence by denial. In this approach, episodes of violence are due to interacting response curves, which disincentivize opponents from attacking through...
Persistent link: https://www.econbiz.de/10015171676
This is a paper in the ``economists ruin everything'' field. It considers whether Catch-22 situations can persist as an equilibrium phenomenon. Rather than being an arbitrary rule or a set of self-serving beliefs, the focus is on the preferences of Gatekeepers who choose to create such...
Persistent link: https://www.econbiz.de/10015171705
This paper develops a game-theoretic model that predicts when a university invention is commercialized in a start-up firm rather than an established firm. The model predicts that university inventions are more likely to occur in start-ups when the technology transfer officers (TTOs) search cost...
Persistent link: https://www.econbiz.de/10012467204
Global games of regime change -- that is, coordination games of incomplete information in which a status quo is abandoned once a sufficiently large fraction of agents attacks it -- have been used to study crises phenomena such as currency attacks, bank runs, debt crises, and political change. We...
Persistent link: https://www.econbiz.de/10012467670
Many argue that crises -- such as currency attacks, bank runs and riots -- can be described as times of non-fundamental volatility. We argue that crises are also times when endogenous sources of information are closely monitored and thus an important part of the phenomena. We study the role of...
Persistent link: https://www.econbiz.de/10012467672
Owners of intellectual property or mere sponsors of an idea (e.g., authors, security issuers, sponsors of standards) often need to persuade potential buyers or adopters of the worth of their property or idea. To this purpose, they often resort to more or less independent certifiers. This paper...
Persistent link: https://www.econbiz.de/10012468026