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作者：Leme, Renato Paes; Schneider, Jon; Zhang, Hanrui
作者单位：Alphabet Inc.; Google Incorporated; Chinese University of Hong Kong
摘要：We study mechanism design when agents may have hidden secondary goals which will play role when the primary utility of the outcomes is the same. We show that in such cases, a mechanism is immune to strategic manipulation if and only if it is incentive compatible with regard to primary utility - a property we term primary incentive compatibility - and nonbossy a well-studied property in the context of matching and allocation mechanisms. We give complete characterizations of primarily incentive-...
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作者：Vorjohann, Pauline
作者单位：University of Exeter
摘要：I derive a model of choice bracketing from two behavioral axioms in an expected utility framework. The first behavioral axiom establishes a link between narrow bracketing and correlation neglect. The second behavioral axiom identifies the reference point as the connector between broad and narrow preferences. The narrow bracketer is characterized by an inability to process changes from the reference point in different dimensions simultaneously. As a result, her tradeoffs between dimensions are ...
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作者：Hayashi, Takashi
作者单位：University of Glasgow
摘要：In a dynamic environment, this paper builds a model of layers of meta-preferences which explains endogenous preference formation as a consequence of subjective judgment by the decision maker's current self about welfare of her successor self. The model allows us to describe how much the decision maker is willing to pay for investment in her preference formation. The paper provides a recursive utility representation of the layers of meta-preferences and applies it to the problems of investment ...
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作者：Chen, Sihao; Cook, David; Fan, Haichao; Xu, Juanyi
作者单位：Hong Kong Baptist University; Hong Kong University of Science & Technology; Fudan University; Shanghai Institute of International Finance & Economics
摘要：In this paper, we study the impact of labor mobility on the welfare cost of a currency union in an open economy New Keynesian model. We find that the relationship between labor mobility and exchange rate flexibility depends on the source of asymmetric regional shocks. With demand shocks, labor mobility reduces the welfare cost of a union by reducing the cost of shifting labor to concentrated areas of high demand. With supply shocks, flexible exchange rates can work in conjunction with higher l...
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作者：Cao, Wenbin; Chen, Xiaowei; Ye, Yinghui; Yuan, Wei
作者单位：Texas State University System; Sam Houston State University; Nankai University; Sun Yat Sen University
摘要：We develop a verification theorem for infinite-horizon optimal stopping under G-Brownian motion and apply it to several stopping problems of economic interest. The theorem gives sufficient conditions under which a candidate solution to a system of variational inequalities is the value function under volatility, covariance, or joint drift-volatility ambiguity. In the canonical irreversible investment problem, volatility ambiguity advances investment because the worst-case scenario selects the l...
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作者：Chade, Hector; Eeckhout, Jan
作者单位：Arizona State University; Arizona State University-Tempe; ICREA; Centre de Recerca en Economia Internacional (CREI); Pompeu Fabra University
摘要：In many economic settings, matching takes place under imperfect information about agents' characteristics that are payoff-relevant to the match. This paper develops a matching model in which agents' payoff-relevant characteristics are realized after matching takes place, and matching is based on the agents' observable ex-ante characteristics, which stochastically determine the payoff-relevant ones. We derive conditions for positive and negative sorting. The conditions differ depending on wheth...
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作者：Sun, Yang; Zhao, Wei; Zhou, Junjie
作者单位：Southwestern University of Finance & Economics - China; Tsinghua University
摘要：We examine dynamic network formation from a centralized perspective, where a forward-looking social planner constructs one new link between previously unconnected nodes in each period. The planner derives utility from the discounted sum of benefits generated throughout the formation process. Assuming the planner's instantaneous utility depends monotonically on the aggregate number of walks of various lengths within the network, we derive several key results. First, it is always optimal to form...
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作者：Lang, Xu; Yang, Zaifu
作者单位：Shandong University; University of Macau
摘要：We propose a condition under which a system of linear inequalities can be found to characterize ex post and interim allocation mechanisms that assign multiple heterogeneous indivisible objects to many agents and also satisfy complex distributional constraints in an incomplete information environment. This condition is called total unimodularity, a well-recognized and rich class of matrices whose entries are-1, 0, or 1. The condition is so general as to extend and unify a number of well-known r...
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作者：Anufriev, Mikhail; Deghi, Andrea; Panchenko, Valentyn; Pin, Paolo
作者单位：University of Technology Sydney; Technical University of Ostrava; International Monetary Fund; University of New South Wales Sydney; University of Siena; Bocconi University
摘要：We develop a theoretical model of network formation in the overnight interbank market, where banks manage liquidity under reserve uncertainty by strategically forming bilateral lending relationships. The model incorporates counterparty risk and the central bank's corridor system, yielding endogenously determined equilibrium networks. A key result, relevant for systemic stability policy, is that the equilibrium network is bipartite: active banks act either as lenders or borrowers, and no strate...
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作者：Cao, Dan; L'Huillier, Jean-Paul; Yoo, Donghoon
作者单位：Georgetown University; Brandeis University; Korea University
摘要：A literature debates the explanations for the cyclical properties of emerging markets using either trend shocks (Aguiar and Gopinath, 2007) or financial frictions (Neumeyer and Perri, 2004; Garcia-Cicco et al., 2010). We state a formal proposition that makes explicit the parametric assumptions needed for consumption to behave (exactly) as in a random-walk, permanent income model. The result is general and applies to economies with endogenous investment and production. The proposition offers a ...
