Related papers: Shrouded Sin Taxes
Despite global efforts to harmonize international trade statistics, our understanding of digital trade and its implications remains limited. Here, we introduce a method to estimate bilateral exports and imports for dozens of sectors…
The sports betting industry has experienced rapid growth, driven largely by technological advancements and the proliferation of online platforms. Machine learning (ML) has played a pivotal role in the transformation of this sector by…
Studies report that firms do not invest in cost-effective green technologies. While economic barriers can explain parts of the gap, behavioural aspects cause further under-valuation. This could be partly due to systematic deviations of…
Match-fixing undermines the integrity of sport by eroding public trust and threatening the financial sustainability of clubs and leagues. The global expansion of sports betting markets has created new incentives and opportunities for…
In a dynamic economy, we characterize the fiscal policy of the government when it levies distortionary taxes and issues defaultable bonds to finance its stochastic expenditure. Default may occur in equilibrium as it prevents the government…
We study the effects of data sharing between firms on prices, profits, and consumer welfare. Although indiscriminate sharing of consumer data decreases firm profits due to the subsequent increase in competition, selective sharing can be…
This study examines strategic behavior in crowdfunding using a large-scale online experiment. Building on the model of Arieli et. al 2023, we test predictions about risk aversion (i.e., opting out despite seeing a positive private signal)…
We analyze the possibility of reduction of systemic risk in financial markets through Pigouvian taxation of financial institutions which is used to support the rescue fund. We introduce the concept of the cascade risk with a clear…
Carbon taxes are increasingly popular among policymakers but remain politically contentious. A key challenge relates to their distributional impacts; the extent to which tax burdens differ across population groups. As a response, a growing…
The legislative process is the backbone of a state built on solid institutions. Yet, due to the complexity of laws -- particularly tax law -- policies may lead to inequality and social tensions. In this study, we introduce a novel prototype…
We consider the revenue maximization problem for an online retailer who plans to display in order a set of products differing in their prices and qualities. Consumers have attention spans, i.e., the maximum number of products they are…
We analyze the effect of sponsored data platforms when Internet service providers (ISPs) compete for subscribers and content providers (CPs) compete for a share of the bandwidth usage by the customers. Our analytical model is of a full…
Online advertising aims to increase user engagement and maximize revenue, but users respond heterogeneously to ad exposure. Some users purchase only when exposed to ads, while others purchase regardless of exposure, and still others never…
It is well known that a game equilibrium can be far from efficient or fair, due to the misalignment between individual and social objectives. The focus of this paper is to design a new mechanism framework that induces an efficient and fair…
This paper investigates - on the basis of the Cont-Bouchaud model - whether a Tobin tax can stabilize foreign exchange markets. Compared to earlier studies, this paper explicitly recognizes that a transaction tax-induced reduction in market…
This paper provides a comprehensive analysis of welfare measures when oligopolistic firms face multiple policy interventions and external changes under general forms of market demands, production costs, and imperfect competition. We present…
We use official data for all 16 federal German states to study the causal effect of a flat 1000 Euro state-dependent university tuition fee on the enrollment behavior of students during the years 2006-2014. In particular, we show how the…
Tax evasion, usually the largest component of an informal economy, is a persistent challenge over history with significant socio-economic implications. Many socio-economic studies investigate its dynamics, including influencing factors, the…
Should firms that apply machine learning algorithms in their decision-making make their algorithms transparent to the users they affect? Despite growing calls for algorithmic transparency, most firms have kept their algorithms opaque,…
We estimate the effect of cigarette price and tax increases on smoking rates using Eurobarometer survey data from 27 European Union countries between 2012 and 2020. Following a difference-in-differences approach, we compare individuals…