Weighted values of non-atomic games were introduced by Hart and Monderer (1997). They study these values by using two approaches: the potential approach and the asymptotic approach. In this study we develop the random order approach (the mixing value, Aumann and Shapley, 1974) to weighted values...

Weighted values of non-atomic games were introduced by Hart and Monderer. These values have been studied by using three approaches: the potential, the asymptotic and the random order approach. In this study we analyze the axiomatic approach for one class of weight functions: the set of players...

This paper introduces a new class of cooperative games called externality games. In these games each player contributes with their specific endowment and also with their presence to the total worth of the coalition she belongs to. We prove that for these games there exists a unique efficient,...

The object of study is cooperation in joint projects where agents may have different desired sophistication levels for the project and where some of the agents may have low budgets. In this context, questions concerning the optimal realizable sophistication level and the distribution of the...

This paper introduces a new class of cooperative games called externality games. In these games each player contributes with their specific endowment and also with their presence to the total worth of the coalition she belongs to. We prove that for these games there exists a unique efficient,...

We examine the optimal institutional allocation of bank regulation. We find that centralizing the lending of last resort and deposit insurance functions in a regulator leads to excessive forbearance. It also leads the bank to invest suboptimaly in loans. Giving this regulator supervision...

The advent of the euro has eroded many of the barriers that segmented the European corporate bond market along currency lines and given rise to a unified market comparable in size to the one denominated in US dollars. In doing so, the new currency has made it easier for investment banks to...

This paper reviews the theoretical literature on bank capital regulation and analyses some of the approaches to redesigning the 1988 Basel Accord on capital standards. The paper starts with a review of the literature on the design of the financial system and the existence of banks. It proceeds...

This paper looks at the advantages and disadvantages of mixing banking and commerce, using the quot;liquidityquot; approach to financial intermediation. Bringing a nonfinancial firm into a banking conglomerate may be advantageous because it may make it easier for the bank to dispose of assets...