We study a dynamic moral hazard setting where the manager has private ev- idence that predicts the firm's cash flows. When performance is low, bad news disclosure is rewarded by a lower borrowing cost relative to the no-evidence case. In contrast, no disclosure is associated with higher...

We investigate intertemporal planning problems as a way of gaining understanding of the characteristics of individual decision-makers and the choice options presented to them. A frequent simplifying assumption that is made in studies of this sort is that choice of options that yield lower...

We consider a decision maker who experiences transient preference shocks when faced with dynamic decision situations that involve intertemporal tradeoffs, such as those in consumption savings problems. We axiomatize a recursive representation of choice over infinite horizon consumption problems...