These papers are working drafts of research which often appear in final form in academic journals. The published versions may differ from the working versions provided here.
We define the class of two-player zero-sum games with payoffs having mild discontinuities, which in applications typically stem from how ties are resolved. For games in this class we establish sufficient conditions for existence of...
When subjects interact in continuous time, their ability to cooperate may dramatically increase. In an experiment, we study the impact of different time horizons on cooperation in (quasi) continuous time prisoner's dilemmas. We find that...
We provide a tool to model and solve strategic situations where players' perceptions are limited, in the sense that they may only be aware of, or model, some of the aspects of the strategic situations...
We study a dynamic strategic model of voluntary disclosure of multiple pieces of information. Such situations are prevalent in real life, e.g., in corporate disclosure environments that are characterized by information asymmetry between the firm...
We investigate the scope for cooperation within a community engaged in repeated reciprocal interactions. Players seek the help of others and approach them sequentially according to some fixed order, that is, a ranking profile. We...
To ensure that individual actors take certain actions, community enforcement may be required. This can present a rules-versus-discretion dilemma: It can become impossible to employ discretion based on information that is not widely held, because...
When do voters win? In this paper we derive conditions under which a democracy will produce policies that favor the voter over special interests. We show that increasing political competition, increasing office holding benefits, decreasing...
The central argument for increasing the number of women on corporate boards of directors has been the so-called business case for diversity which proposes that women and minorities add valuable new perspectives that result in...
Prosper, the largest online social lending marketplace with over a million members and $207 million in funded loans, uses an auction amongst lenders to finance each loan. In each auction, the borrower specifies <i> D</i>,...
We impose three conditions on refinements of the Nash equilibria of finite games with perfect recall that select closed connected subsets, called solutions. <br> A. Each equilibrium in a solution uses undominated strategies; <br> B...
I present a theory of optimal multilateral trade agreements with public political shocks. I first show that forbearance - where one country withholds retaliation when its trading partner receives a shock - is a feature...
Prequential testing of a forecaster is known to be manipulable if the test must pass an informed forecaster for all possible true distributions. Stewart (2011) provides a non- manipulable prequential likelihood test that only fails...
Price controls lead to misallocation of goods and encourage rent-seeking. The misallocation e¤ect alone is enough to ensure that consumer surplus is always reduced by a price control in an otherwise-competitive market with convex demand...
For an all-pay sealed-bid auction of an item for which each bidder's realized value can depend on every bidder's privately observed signal, existence of equilibria in behavioral strategies is established using only the assumption that...
For two symmetric bidders, weak monotonicity conditions are shown to imply existence of an equilibrium in mixed behavioral strategies for a sealed-bid first-price auction of an item for which each bidder's value depends on every...
A first-price sealed-bid auction of an item for which bidders are risk-neutral and have privately known values is shown to have an equilibrium in mixed behavioral strategies if the joint distribution of bidders' values has...
Is there a limit to trade cooperation that the WTO can facilitate? In this paper I present a theory of the WTO in which the WTO is an equilibrium outcome of multiple bilateral repeated prisoners'...
Three axioms from decision theory are applied to refinements that select connected subsets of the Nash equilibria of games with perfect recall. The first axiom requires all equilibria in a selected subset to be admissible,...
For three years after the typical developing country opens its stock market to inflows of foreign capital, the average annual growth rate of the real wage in the manufacturing sector increases by a factor of...
