The paper considers two-person bargaining under Approval Voting. It first proves the existence of pure strategy equilibria. Then it shows that this bargaining method ensures that both players obtain at least their average and median utility level in equilibrium. Finally it proves that, provided...

While intergenerational transmission of human capital has been widely documented by economists, less is known about differences in schooling between siblings. This paper proposes a measure of educational inequality in France using a sample of 27,197 children from 11,694 families. Estimation of...

This paper analyzes conditions for strong rationality of the equilibrium in a linear/Gaussian model of a competitive commodity market, where firms are differentially informed about costs of production and the precision of private information is endogenously acquired. A Rational Expectations...

Do couples share the same values? The social sciences have mainly concentrated on comparing the socioeconomic characteristics of spouses, but rarely their prefer- ences to risk and time. In this paper, we use conventional measurements and an original method of scoring. We nd that spouses are...

We consider hybrid procedures: a first step of reducing the game by iterated elimination of weakly dominated strategies (IEWDS) followed by a second step of applying an equilibrium refinement. We show that the set of perfect/proper outcomes of a reduced normal-form game might be larger than the...

Some historians argue that the history of economic thought (HET) is useful and important to economists and that historians should remain in economics departments. Others believe that historians’ initiatives toward economists are doomed in advance to failure and that they should instead ally...

This paper analyzes a sequential voting mechanism that eliminates at each round one candidate, until only one of them is left (the winner). The candidates are the voters and they only differ across their skill level. The payoff allocated to the winner depends on the sequence of elimination of...

We study the implications of conformism among analysts in a CARA Gaussian model of the market for a risky asset, where a trader's in- formation is a message sent by an analyst. Conformism increases the weight of the public information in the messages, decreasing their in- formativeness. More...

This paper explores the extent to which episodes of democratization can be explained by variation in income inequality. Modern empirical tests of this relationship have generally yielded null results, which we argue follow from the estimation of mis-specified models. Guided by a theoretical...

The present paper investigates the incidence of payroll taxation - and more generally labor income taxation - in a search and matching model. The model considers a production function with different type of workers, allowing to understand the interactions between segmented labor markets....