We study a firm׳s sourcing strategy when facing two unreliable suppliers and a price-dependent isoelastic demand. At optimality, the firm always orders at least from the low-cost supplier. The firm also orders from the high-cost supplier if and only if the effective purchase cost from the...

A commonly observed two-stage pricing strategy for a custom-made product involves a pre-purchase entry fee for a potential consumer and a purchase price if he decides to buy the product. We solve and compare two settings: In the first, the firm does not commit in advance to the second-stage...

Investigations of the existence of residential peer effects in higher education has shown mixed results. Using data from a Chinese college, we find no evidence of robust residential peer effects. Using the same data we find evidence that females respond to peer influences, whereas males do not,...

There is a large and growing literature on how to model the dynamics of the default-free term structure to fit the observed historical data. Much less is known about how best to model the dynamics of defaultable yield curves. This paper develops a class of defaultable term structure models that...

The timing effects (timing without observability) identified by Weber, Camerer, and Knez (2004) in coordination game experiments are caused by their fixed-matching protocol. When we use a random-matching protocol the alleged timing effects completely vanish.

This article empirically investigates the patterns, determinants and impact of banking regulation in a large cross section of countries. Major differences of banking regulation across countries are found to be in four dimensions, i.e., the extent of government ownership of banks, the intensity...

General Aviation (GA) demand forecast plays an important role in aviation management, planning and policy making. The objective of this paper is to develop an airport-level GA demand forecast model. The GA demand at an airport is modeled as a function of social-economic and demographic factors,...

Is greater trading liquidity good or bad for corporate governance? We address this question both theoretically and empirically. We solve a model consisting of an optimal IPO followed by a dynamic Kyle market in which the large investor's private information concerns her own plans for taking an...