PDF/Textbook Three Essays In Economics Of Innovation And Matching Theory Full Download

Three Essays in Economics of Innovation and Matching Theory

Author: Frédéric Payot
Publisher:
ISBN:
Category :
Languages : en
Pages : 95

Book Description

Cooperation in Innovative Activities, Organizational Innovation and Productivity

Author: Alberto López Sebastián
Publisher:
ISBN:
Category :
Languages : en
Pages : 170

Book Description

The Theory of Money and Financial Institutions

Author: Martin Shubik
Publisher: MIT Press
ISBN: 9780262693110
Category : Business & Economics
Languages : en
Pages : 472

Book Description
This first volume in a three-volume exposition of Shubik's vision of "mathematical institutional economics" explores a one-period approach to economic exchange with money, debt, and bankruptcy. This is the first volume in a three-volume exposition of Martin Shubik's vision of "mathematical institutional economics"--a term he coined in 1959 to describe the theoretical underpinnings needed for the construction of an economic dynamics. The goal is to develop a process-oriented theory of money and financial institutions that reconciles micro- and macroeconomics, using as a prime tool the theory of games in strategic and extensive form. The approach involves a search for minimal financial institutions that appear as a logical, technological, and institutional necessity, as part of the "rules of the game." Money and financial institutions are assumed to be the basic elements of the network that transmits the sociopolitical imperatives to the economy. Volume 1 deals with a one-period approach to economic exchange with money, debt, and bankruptcy. Volume 2 explores the new economic features that arise when we consider multi-period finite and infinite horizon economies. Volume 3 will consider the specific role of financial institutions and government, and formulate the economic financial control problem linking micro- and macroeconomics.

Three Essays in Financial Markets. The Bright Side of Financial Derivatives: Options Trading and Firm Innovation

Author: Iván Blanco
Publisher: Ed. Universidad de Cantabria
ISBN: 8481028770
Category : Business & Economics
Languages : en
Pages : 90

Book Description
Do financial derivatives enhance or impede innovation? We aim to answer this question by examining the relationship between equity options markets and standard measures of firm innovation. Our baseline results show that firms with more options trading activity generate more patents and patent citations per dollar of R&D invested. We then investigate how more active options markets affect firms' innovation strategy. Our results suggest that firms with greater trading activity pursue a more creative, diverse and risky innovation strategy. We discuss potential underlying mechanisms and show that options appear to mitigate managerial career concerns that would induce managers to take actions that boost short-term performance measures. Finally, using several econometric specifications that try to account for the potential endogeneity of options trading, we argue that the positive effect of options trading on firm innovation is causal.

Essays in Microeconomic Theory and the Economics of Networks

Author: Yiqing Xing
Publisher:
ISBN:
Category :
Languages : en
Pages :

Book Description
This thesis consists of three essays in microeconomic theory and the economics of networks. Chapter 1 establishes a model in which agents first form risk-sharing pairs, and then repeatedly share income risks under limited commitment. Agents of different occupations differ in income autocorrelations, i.e. how their current incomes correlate with past ones. I show that agents with high autocorrelation are hard to share risks with. With endogenous matching, two equilibrium outcomes can occur: either 1) agents match positive assortatively, or 2) agents from different occupations do match together, but in order to sustain such matches, agents share risks unevenly favoring the relatively less autocorrelated. Either equilibrium features substantial inequality across occupations and low total welfare, compared to what would happen if a social planner could impose an optimal matching to agents. The interplay between matching and risk sharing can change our views on policies. For instance, uniform increases in everyone's low income levels (minimal wages) may hurt some agents. Increases in occupation-specific common income shocks could improve overall risk sharing and reduce inequality. My results are also robust to forms of heterogeneity other than income autocorrelations, such as heterogeneous opportunities to rematch or migrate. This model is among the first attempts to consider both partnership formation and subsequent interactions. I highlight the point that how a pair of agents interact (share risks in this case) does not only depend on the two of them, but also on their potential links to others, and how others interact. Such a framework has important policy implications because a policy can change how agents interact as well as whom they interact with. Without considering these effects, out policy evaluations could be inadequate. Chapter 2 (coauthored with Matt Jackson) is an online experiment to justify homophily, the tendency of people to interact with others that are similar to themselves, by the ease of coordination among agents with a similar cultural background. In particular, we examine whether people are better at predicting how others with similar cultural backgrounds will behave, compared to others with different cultural backgrounds. We also explore whether this translates into better coordination. The more than a thousand participants in our experiment mainly reside in two countries: India and the United States. Participants are paired to act in a simple coordination environment with multiple coordination outcomes. Participants from India are much more likely than participants from the U.S. to choose actions that lead to very unequal payoffs across the two subjects. We also find that, although participants residing in different countries tend to choose different actions, they do not seem to adjust their actions according to their opponents' place of residence. One explanation for this pattern is that participants have no idea about what their opponents would do when the opponents are from a different cultural background from them, and wrongly believe that their opponents will behave similarly to themselves. This explanation is consistent with the data when we explicitly elicit participants' beliefs about the opponents' behaviors. In sum, due to the accuracy of predicting each others' behaviors, interactions between people who share a similar cultural background leads to a larger likelihood of coordination, and a higher payoff on average. Chapter 3 (coauthored with Matt Jackson and Hugo Sonnenschein) models negotiations that determine not only an agreement's price, but also its content, which typically has many aspects. We model such negotiations and provide conditions under which negotiation leads to efficient outcomes, even in the face of substantial asymmetric information regarding the value of each aspect. With sufficient information about the overall potential surplus, if the set of offers that agents can make when negotiating is sufficiently rich, then negotiation leads the agents to efficient agreements in all equilibria. Furthermore, the same negotiation game works regardless of the statistical structure of information - in this sense, no omniscient "planner" or "mechanism designer" is required. The theory and examples explore the anatomy of negotiation and may shed light on why many situations with significant asymmetric information exhibit little inefficiency. This chapter is within my research agenda of better understanding the social costs of asymmetric information without an omniscient and empowered "mechanism designer". Such a designer plays a key role in the mechanism design literature, but frequently is absent in applications. This chapter asks the question that whether two agents come about on their own, negotiating in "free-forms", can achieve (near) efficiency. Another paper of mine, "Intermediated Implementation", (with Anqi Li) is along the same line of research. There we ask the question whether a social planner can implement target allocations through market intermediaries (e.g., firms in the labor market) with simple policies such as per unit fee, labor income tax, or quota system.

Essays in Economic Theory

Author: Ausias Ribó
Publisher:
ISBN:
Category :
Languages : en
Pages : 185

Book Description
This thesis is composed of 3 independent essays on economic theory. Each essay is meant to be read separately, including footnotes and appendices. In particular, essays 2 and 3 include specific bibliography. The general bibliography is included at the end of the thesis. The first essay reviews some well known conceptual and empirical problems that appear when economic theorists deal with preferences and choice theory, in general. While assessing those problems, the essay lays the ground for a detailed discussion of the possibility of preference learning, formation and change. The essay concludes proposing a theoretical framework to study these phenomena. The second essay, although independent from the first, is also devoted to the issue of preference change. In particular, it studies the possibility that cultural preferences evolve as a result of the combination of technological innovation and cultural transmission mechanisms. At the same time, it allows for the possibility that those cultural preferences determine the short term outcome of economic variables. In addition, it builds a framework where the combination of technological innovation, cultural transmission and economic structure lead to a process of endogenous preference heterogeneity and clustering. Hence it provides a model to understand how culture and the economic structure interact and coevolve. The third essay presents some theoretical problems that arise when using the concept of a matching function as a modelling device for the labor market. In particular, necessary conditions for the ratio of the number of matches per job searcher to be interpreted as the average job finding probability are established. References [Abel, 1990] Abel, A. B. (1990). Asset prices under habit formation and catching up with the joneses. The American Economic Review, pages 38-42. [Afriat, 1967] Afriat, S. (1967). The construction of utility functions from expenditure data. International Economic Review, 8(1):67-77. [Al-Najjar, 1993] Al-Najjar, N. (1993). Non-transitive smooth preferences. Journal of Economic Theory, 60(1):14 -41. [[Aragones et al., 2005] Aragones, E., Gilboa, I., Postlewaite, A., and Schmeidler, D. (2005). Fact-free learning. The American Economic Review, 95(5):1355- 1368. [Ariely et al., 2003] Ariely, D., Loewenstein, G., and Prelec, D. (2003). coherent arbitrariness: Stable demand curves without stable preferences. The Quarterly Journal of Economics, 118(1):73-106. [Arrow, 1986] Arrow, K. (1986). Rationality of self and others in an economic system. Journal of Business, pages 385-399. [Arrow and Hahn, 1971] Arrow, K. and Hahn, F. (1971). General competitive analysis. Holden-Day San Francisco.165 [Arrow, 1959] Arrow, K. J. (1959). Rational choice functions and orderings. Economica, 26(102):121-127. [Aumann, 1962] Aumann, R. (1962). Utility theory without the completeness axiom. Econometrica: Journal of the Econometric Society, pages 445-462. [Balasko, 2003] Balasko, Y. (2003). Economies with price-dependent preferences. Journal of economic theory, 109(2):333-359. [Balzer, 1982] Balzer, W. (1982). Empirical claims in exchange economics. In Philosophy of Economics, pages 16-40. Springer. [Becker, 1962] Becker, G. (1962). Irrational behavior and economic theory. The Journal of Political Economy, pages 1-13. [Becker, 1978] Becker, G. S. (1978). The economic approach to human behavior. University of Chicago press. [Berry and Pakes, 2007a] Berry, S. and Pakes, A. (2007a). The pure characteristics demand model. International Economic Review, 48(4):1193-1225. [Berry and Pakes, 2007b] Berry, S. and Pakes, A. (2007b). The pure characteristics demand model*. International Economic Review, 48(4):1193-1225. [Bewley, 1986] Bewley, T. (1986). Knightian uncertainty theory: part i. Yale University. [Blaug, 1992] Blaug, M. (1992). The methodology of economics: Or, how economists explain. Cambridge University Press. [Boudon, 1998] Boudon, R. (1998). Social mechanisms without black boxes. Social mechanisms: An analytical approach to social theory, 172. [Brown and Matzkin, 1996] Brown, D. and Matzkin, R. (1996). Testable restrictions on the equilibrium manifold. Econometrica: Journal of the Econometric Society, pages 1249-1262. [Bunge, 1993] Bunge, M. (1993). Realism and antirealism in social science. Theory and Decision, 35(3):207-235. [Caldwell, 1984] Caldwell, B. J. (1984). Some problems with falsificationism in economics. Philosophy of the Social Sciences, 14(4):489-495. [Chapman and Johnson, 1999] Chapman, G. B. and Johnson, E. J. (1999). Anchoring, activation, and the construction of values. Organizational Behavior and Human Decision Processes, 79(2):115 -153. [Deaton and Muellbauer, 1980] Deaton, A. and Muellbauer, J. (1980). An almost ideal demand system. The American economic review, pages 312-326.

SBIR at the National Science Foundation

Author: National Academies of Sciences, Engineering, and Medicine
Publisher: National Academies Press
ISBN: 0309311969
Category : Political Science
Languages : en
Pages : 367

Book Description
The Small Business Innovation Research (SBIR) program is one of the largest examples of U.S. public-private partnerships, and was established in 1982 to encourage small businesses to develop new processes and products and to provide quality research in support of the U.S. government's many missions. The U.S. Congress tasked the National Research Council with undertaking a comprehensive study of how the SBIR program has stimulated technological innovation and used small businesses to meet federal research and development needs, and with recommending further improvements to the program. In the first round of this study, an ad hoc committee prepared a series of reports from 2004 to 2009 on the SBIR program at the five agencies responsible for 96 percent of the program's operations-including the National Science Foundation (NSF). Building on the outcomes from the first round, this second round presents the committee's second review of the NSF SBIR program's operations. Public-private partnerships like SBIR are particularly important since today's knowledge economy is driven in large part by the nation's capacity to innovate. One of the defining features of the U.S. economy is a high level of entrepreneurial activity. Entrepreneurs in the United States see opportunities and are willing and able to assume risk to bring new welfare-enhancing, wealth-generating technologies to the market. Yet, although discoveries in areas such as genomics, bioinformatics, and nanotechnology present new opportunities, converting these discoveries into innovations for the market involves substantial challenges. The American capacity for innovation can be strengthened by addressing the challenges faced by entrepreneurs.