This paper proposes an extension of p-dominance called q-resistant equilibrium, which has the largest resistance to payoff-dependent mistakes. The selection could differ from the risk-dominant equilibrium, and a sufficient condition for a q-resistant equilibrium to follow risk-dominance is provided.

This paper applies quantal response equilibrium (QRE) models (McKelvey and Palfrey, Games and Economic Behavior 10 (1995), 6-38) to a wide class of symmetric coordination games in which each player's best response is determined by an order statistic of all players' decisions, as in the classic...

This paper proposes a panel unit root test for micropanels with short time dimension (T) and large cross section (N). There are several distinctive features of this test. First, the test is based on a panel AR(1) model, which allows for cross-sectional dependency, which is introduced by the...

This paper derives a convergence equation for a world integrated by trade. We find that factor price equalization reduces the rate of income convergence among economies with identical preferences and identical technologies. This finding hold true both in neoclassical growth models and in...

This paper surveys the literature on panel cointegration. It starts by dis- cussing cointegrating panel regressions for both cross-sectionally independent and correlated panels. It then introduces three groups of tests for panel coin-tegration : residual-based tests for the null of...

Attendance is determined by the ex ante expectation on the quality of a game, while television viewing is influenced by the actual progression of a game since switching television channel costs nil. This implies that the determinants of baseball demand on television may change as the games...

This paper derives the necessary and sufficient condition for the simple gravity equation to hold: the market share of an exporting country is constant across all importing countries. Specialization is just one example satisfying this condition. It holds in a variety of situations where multiple...