We model conflict between two agents in which each one has two possible strategies: cease-fire or rejection of the truce. We use the concept of pre-donations, namely, a redefinition of the game in which each agent commits to transfer a share of its output to the other agent (Sertel, 1991)....

Firms´ compensation practices affect the protection of investors´ interests and the degree of economic inequality by changing the stakes of engaging in appropriation activities versus respecting the status quo. We use a general equilibrium model where workers can either work peacefully or join...

Purpose – The purpose of this paper is to study the effect that weak enforceability of property rights has on the human resource practices of firms operating in hostile business environment. Design/methodology/approach – This paper questions the role of the state as the only provider of...

We present a model with two Overlapping Generations (young and old) and two final goods: a) a tradable good that is produced using capital and labor, and b) a non-tradable good that is produced using labor as unique input. We maintain the fundamental assumption of perfect factor mobility between...

We study organisational forms in conflict-ridden zones of rural Colombia and analyse the impact of violence and subjective perceptions of insecurity on the choice of organisational modes. Based on a survey of 742 rural producers in five geographical regions, we find that perceptions of...

Purpose – The purpose of this paper is to examine how the market potential for internet services interacted historically with the diffusion process of fixed line and mobile telephony. Design/methodology/approach – The authors evaluate the historical interactions between internet, fixed line...

We argue that during the crystallization of common and civil law in the 19th century, the degree of discretion in judicial rulemaking, albeit influenced by the comparative advantages of both legislative and judicial rulemaking, was mainly determined by the anti-market biases of the judiciary....

Assuming that the degree of discretion granted to judges was the main distinguishing feature between common and civil law until the 19th century, we argue that constraining judicial discretion was instrumental in protecting freedom of contract and developing the market order in civil law. We...

We argue that during the crystallization of common and civil law in the 19th century, the optimal degree of discretion in judicial rulemaking, albeit influenced by the comparative advantages of both legislative and judicial rulemaking, was mainly determined by the anti-market biases of the...

We argue that in the development of the Western legal system, cognitive departures are the main determinant of the optimal degree of judicial rule-making. Judicial discretion, seen here as the main distinguishing feature between both legal systems, is introduced in civil law jurisdictions to...