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作者：Pathak, Parag A.; Rees-Jones, Alex; Sonmez, Tayfun
作者单位：Massachusetts Institute of Technology (MIT); National Bureau of Economic Research; University of Pennsylvania; Boston College
摘要：Affirmative action policies are often implemented through reserve systems. In this study, we demonstrate that reserve systems face widespread misunderstanding by the public. This misunderstanding can lead individuals to support policies that ineffectively pursue their interests. To establish these claims, we present 1,013 participants in the Understanding America Study with choices between pairs of reserve systems. Participants are members of the group receiving affirmative action and are fina...
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作者：Babenko, Ilona; Fedaseyeu, Viktar; Zhang, Song
作者单位：Arizona State University; Arizona State University-Tempe; China Europe International Business School; University of Delaware
摘要：We study the involvement of corporate executives in U.S. politics over the last 40 years. First, we document that the share of business politicians in federal elected office increased from 13.3% in 1980% to 22.6% in 2018, with most of the increase occurring over the last two decades. Second, we find that business politicians enjoy an early fundraising advantage over their opponents, both because they are more likely to self-fund their campaigns and because they receive more campaign contributi...
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作者：Balseiro, Santiago R.; Desir, Antoine
作者单位：Columbia University; INSEAD Business School
摘要：Online marketplaces, such as Amazon, Alibaba, Google Shopping, and JD.com, allow sellers to promote their products by charging them for the right to be displayed on top of organic search results. In this paper, we study the problem of designing auctions for sponsored products and highlight some new challenges emerging from the interplay of two unique features: substitution effects and information asymmetry. The presence of substitution effects, which we capture by assuming that consumers choos...
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作者：Aygun, Orhan; Turhan, Bertan
作者单位：Bogazici University; Iowa State University
摘要：We study the joint implementation of reservation and de-reservation policies in India that has been enforcing comprehensive affirmative action since 1950. The landmark judgment of the Supreme Court of India in 2008 mandated that whenever the OBC category (with 27% reservation) has unfilled positions, they must be reverted to general category applicants in admissions to public schools without specifying how to implement it. We disclose the drawbacks of the recently reformed allocation procedure...
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作者：Kim, Tae Wook; Pae, Suil
作者单位：University of Hong Kong; Sungkyunkwan University (SKKU)
摘要：This study examines a reputation-concerned entrepreneur's incentives to provide disaggregated information about a project's future performance when the entrepreneur seeks to increase both the market price of the project and the market assessment of the entrepreneur's ability as a project manager. Two factors determine equilibrium: (i) the informational quality of the signal related to the entrepreneur's ability and (ii) the magnitude of reputational concerns. If the former is relatively low, t...
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作者：de Bettignies, Jean-Etienne; Liu, Hua Fang; Robinson, David T.; Gainulline, Bulat
作者单位：Kean University; Duke University; National Bureau of Economic Research
摘要：We examine the impact of product market competition on innovation in markets for technology. An innovator makes an investment in quality-improving innovation that can be licensed to one (targeted licensing) or all (market-wide licensing) product market competitors. Our model points to a U-shaped relationship between competition in licensee product markets and innovation in the market for technology: at low levels of competition, market-wide licensing is optimal, and competition reduces innovat...
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作者：Huang, Yu; Ju, Nengjiu; Xing, Hao
作者单位：Shanghai Jiao Tong University; Boston University
摘要：We develop a dynamicmodel where a principal contractswith an agent to operate a firm. The agent, protected by limited liability, trades privately a market portfolio to hedgemarket risk in his compensation. When liquidation cost of the firm is proportional to its size, the principal manages the termination risk by loading the contract with a positive market component, which alleviates termination risk in normal market conditions but makes termination more likely after negative market shocks. Th...
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作者：Bonsall, Samuel B.; Koharki, Kevin; Kraft, Pepa; Muller, Karl A., III; Sikochi, Anywhere
作者单位：Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; Purdue University System; Purdue University; Hautes Etudes Commerciales (HEC) Paris; Harvard University
摘要：We examine whether rating agencies act defensively toward issuers with a higher likelihood of default. We find that agencies' qualitative soft rating adjustments are more accurate as issuers' default risk grows, as evidenced by the adjustments leading to lower type I and type II error rates and better prediction of default and default recovery losses. We also find that soft adjustments' relevance increases with issuers' default risk, as evidenced by the adjustments being more predictive of ini...
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作者：Allen, Abigail; Petacchi, Reining C.
作者单位：Brigham Young University; Georgetown University
摘要：Widely acknowledged as one of the most controversial standards in governmental accounting, Governmental Accounting Standards Board (GASB) Statements 67/68 radically altered both the recognition and measurement for defined benefit public pensions. The standards require the recognition of previously only disclosed unfunded pension liabilities and increase the magnitude of reported pension liabilities by requiring the partial incorporation of a market-based discount rate. Although the recognition...
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作者：Fainmesser, Itay P.; Galeotti, Andrea; Momot, Ruslan
作者单位：Johns Hopkins University; Johns Hopkins University; University of London; London Business School; University of Michigan System; University of Michigan; Northwestern University
摘要：We study the incentives of a digital business to collect and protect users' data. The users' data the business collects improve the service it provides to consumers, but they may also be accessed, at a cost, by strategic third parties in a way that harms users, imposing endogenous users' privacy costs. We characterize howthe revenuemodel of the business shapes its optimal data strategy: collection and protection of users' data. A business with a more data-driven revenue model will collect more...
