Economics
An axiomatic characterization of Nash equilibrium is provided for games in normal form. The Nash equilibrium correspondence is shown to be fully characterized by four simple and intuitive axioms, two of which are inspired by contraction and…
Machines have at times equalized physical strength by substituting for human effort, and at other times amplified these differences. Artificial intelligence (AI) may likewise narrow or widen disparities in cognitive ability. Recent evidence…
We revisit macroeconomic time-varying parameter vector autoregressions (TVP-VARs), whose persistent coefficients may adapt too slowly to large, abrupt shifts such as those during major crises. We explore the performance of an…
Health economic evaluations are sensitive to the choice of analytical perspective (e.g., health system vs. societal). While guidelines often recommend specific perspectives, the uncertainty associated with this choice - and the potential…
We distinguish two frameworks for decisions under ambiguity: evaluate-then-aggregate (ETA) and aggregate-then-evaluate (ATE). Given a statistic that represents the decision maker's pure-risk preferences (such as expected utility) and an…
In a typical model of private information and choice under uncertainty, a decision maker observes a signal, updates her prior beliefs using Bayes rule, and maximizes her expected utility. If the decision maker's utility function satisfies…
This study proposes a novel solution concept--the w-value--for cooperative games with public externalities. The w-value is axiomatically founded on three principles: Pareto Optimality (PO), Market Equilibrium (ME), and Fiscal Balance (FB),…
Lotteries are commonly employed in school choice to fairly resolve priority ties; however, current practices typically keep students uninformed about their lottery outcomes at the time of preference submission. This paper advocates for…
I develop a methodology to partially identify linear combinations of conditional mean outcomes when the researcher only has access to aggregate data. Unlike the existing literature, I only allow for marginal, not joint, distributions of…
In a paper published in The Economic Journal in 2000, Weisbuch et al.\ introduce a model for buyers' preferences to the various sellers in over-the-counter (OTC) fish markets. While this model has become an archetype of economic…
Much like small ripples in a stream, which get lost in the larger waves, small changes in retail prices often fly under the radar of public perceptions, while large price changes appear as marketing moves associated with demand and…
This paper examines influences of brand dynamics on insurance premium productions in Turkey using a dynamic GMM panel estimation technique sampling 31 insurance firms over 2005-2015. The results reveals that brands trust appears as a chief…
This paper has two contributions to the International Financial Reporting Stands (IFRS) adoption literature. First is the scrutinizing impact of IFRS adoption on value relevance in the UK with TEST-A analysis under the H01 hypothesis. The…
Developments in machine learning and big data allow firms to fully personalize and target their marketing mix. However, data and privacy regulations, such as those in the European Union (GDPR), incorporate a "right to explanation," which is…
We introduce a graph-theoretic framework based on discrete sheaves to diagnose and localize inconsistencies in preference aggregation. Unlike traditional linearization methods (e.g., HodgeRank), this approach preserves the discrete…
This paper develops an algorithm to reconstruct large weighted firm-to-firm networks using information about the size of the firms and sectoral input-output flows. Our algorithm is based on a four-step procedure. We first generate a matrix…
Timely assessment of current conditions is essential especially for small, open economies such as Singapore, where external shocks transmit rapidly to domestic activity. We develop a real-time nowcasting framework for quarterly GDP growth…
This paper examines the market for AI models in which firms compete to provide accurate model predictions and consumers exhibit heterogeneous preferences for model accuracy. We develop a consumer-firm duopoly model to analyze how…
Classical spatial models predict platform convergence, yet empirical polarization persists. This paper proposes a non-electoral mechanism: lobbying as a monopsonistic market for legislative support. Here, extreme benefactors must pay more…
The empirical literature that covers Phillips Curve analysis during recessionary periods is notably scant. The Great Recession has rekindled a debate on the validity and stability of the Phillips Curve which is still ongoing. The basis for…