infonet-economy

A new theoretical model is developed which describes the structure of competition for attention and characterizes equilibria. The exogenous fundamentals of an attention economy are the space of receiving subjects with their attention capacity, and the potential set of competing firms (senders) with their radiation technology. The endogenous variables explained by the theory are...

This paper analyzes an overlapping generation model of redistribution and public good provision under repeated voting. Expenditures are financed through age-dependent taxation that distorts human capital investment. Taxes redistribute income both across skill groups and across generations. We focus on politico-economic Markov equilibria and contrast these with the Ramsey allocation...

Interest rate derivatives are among the most actively traded financial instruments in the main currency areas. With values of positions reacting immediately to the underlying index of daily interbank rates, manipulation has become an increasing challenge for the operational implementation of monetary policy. To address this issue, we study a microstructure model in which a commercial...

This paper documents a marked increase in international consumption risk sharing throughout the recent globalization period. Unlike earlier studies that have found it difficult to document a consistent effect of financial globalization on international consumption comovements, we make use of the information implicit in the relative levels of consumption and output to measure long-run...

Recent literature (McNulty, Yeh, Schulze, & Lubatkin, 2002) states that the assumptions behind the capital asset pricing model, in particular the irrelevance of time horizon, do not correspond to the characteristics of firms that prefer long-term investment horizons. I show that family firms display a longer time horizon than most of their nonfamily counterparts, since (1) family...

Why do so many exploratory initiatives fail? This article suggests the reason may be managers' tendency to under-invest in four key learning activities - searching, processing, codifying and practicing. Based on a study of forty-one exploratory initiatives in three insurance firms, this article explains why each of these four activities is important and why, despite their...

We used single-pulse transcranial magnetic stimulation of the left primary hand motor cortex and motor evoked potentials of the contralateral right abductor pollicis brevis to probe motor cortex excitability during a standard mental rotation task. Based on previous findings we tested the following hypotheses. (i) Is the hand motor cortex activated more strongly during mental rotation...

This paper develops a dynamic stochastic general equilibrium model to examine the quantitative macroeconomic implications of counter-ncyclical fiscal policy for France, Germany and the UK. The model incorporates real wage rigidity which is the particular market failurenjustifying policy intervention. We subject the model to productivity shocks and use either government consumption or...