Intertemporal coordination with delay options

• 成果类型: Article
• 署名作者: Araujo, Luis; Guimaraes, Bernardo
• 署名单位: Getulio Vargas Foundation; Michigan State University
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2015.02.008
• 发表日期: 2015
• 页码: 793-810
• 关键词: Intertemporal; COORDINATION; Delay options; overlapping generations

摘要

This paper studies equilibrium selection in intertemporal coordination problems with delay options. The risk-dominant action of the underlying one-shot game is selected when frictions are arbitrarily small. Larger frictions introduce real option effects in the model and inhibit coordination. (c) 2015 Elsevier Inc. All rights reserved.