This paper examines product return policies in an environment in which consumers differ by the return costs they experience themselves and impose on firms. We examine how firms use information about consumer return costs to customize product return payments, prices, and whether to permit returns...

Abstract Desiring conformity but lacking common labels with which to identify the different options, a population employs reliable social connections to identify paths through which decisions can disseminate. A leader serves the population by coordinating adoption and therefore increasing...

Recent policy proposals call for setting up a benchmark indexed bond market to prevent "Sudden Stops". This paper analyzes the macroeconomic implications of these bonds using a general equilibrium model of a small open economy with financial frictions. In the absence of indexed bonds, negative...