On price equilibrium with multi-product firms

In this paper, we provide a result that shows existence and uniqueness of Nash equilibrium in cases in which existing methods are problematic. This result is based on a theorem by Kellogg (Proc Am Math Soc 60:207–210, 1976) that provides conditions for the existence of a unique fixed point. We apply it to the simple logit discrete choice model and the CES representative consumer model, where asymmetric cost firms produce multiple vertically and horizontally differentiated products and compete in prices.     

The sources of use knowledge: Towards integrating the dynamics of technology use and design in the articulation of societal challenges

This paper reviews three strands of the innovation literature that have presented innovation as a distributed process that combines knowledge of designers and users: user innovations, Science and Technology Studies (STS), and domestication research. These literatures have explored different aspects of the micro-processes through which use and design knowledge are locally embedded. This paper pulls together insights from the literatures, and identifies an important gap: the connections between the local embedding of use and design knowledge, and the meso dynamics of industrial and technological change. The paper then develops a number of integrating concepts and propositions for a framework to study the co-evolution of use and design in innovation processes. It also demonstrates that this framework is most valuable in researching how societal challenges become articulated over time in processes of technological change and innovation.     

Democracy, size of bureaucracy, and economic growth: evidence from Russian regions

This article considers the impact of sub-national political systems on economic growth by applying the case of Russian regions from 2000 to 2004. It investigates two dimensions of the sub-national systems. First, it studies the influence of democracy on economic performance, providing evidence of a non-linear relationship between democracy and economic growth. Regions with high levels of democracy, as well as strong autocracies, perform better than hybrid regimes. Second, this article considers the influence of the size of the bureaucracy on economic outcomes and confirms the ??grabbing hand?? view on bureaucracy rather than the Weberian idea. Increasing the size of the bureaucracy is associated with a decline in economic performance. In addition, this article analyzes the potential interaction between these two characteristics of sub-national politics as factors of economic growth, but does not establish any robust results.     

Common agency lobbying over coalitions and policy

This paper presents a theory of common agency lobbying in which policy-interested lobbies can first influence the choice of a proto-coalition and then influence the legislative bargaining over policy within that coalition. The equilibrium policy in the legislative bargaining stage maximizes the aggregate policy utility of the coalition members and the lobbies, but lobbying can also lead to the preservation of the status quo and lobby-induced gridlock. When the status quo does not persist, the policy outcome is largely determined by the selection of a coalition, since legislative bargaining under unanimity within the coalition leads to a coalition-efficient policy regardless of the identity of the proposer. An example is presented to identify the types of equilibria and provide a full characterization of an equilibrium.     

Matching auction with winner’s curse and imperfect financial markets

This paper explains how and why the Matching Auctions work better with Imperfect Financial Markets. We show that an efficient outsider can obtain a “good” project even if the insider has informational advantage.     

A critical review of empirical research on open innovation adoption

The open innovation approach has been one of the most discussed topics in innovation management literature in the 2000s. Over the past few years, academic publications on open innovation have increased substantially. This paper attempts to summarize and review the state-of-the-art of empirical open innovation research and develop new opportunities for open innovation research in the future. In order to make the papers more comparable, a clear focus on large-scale quantitative-oriented studies was set. From a total of 282 documents, 30 studies were analyzed in detail along four key dimensions: Firstly, different methods of measuring open innovation adoption are compared. Then, the level of open innovation adoption is analyzed on a general basis. Thirdly, the level of adoption is compared at the level of the open innovation mode (inbound and outbound). Finally, the study results regarding the variables that influence open innovation adoption are compared and conclusions for future research directions are drawn.     

Environmental Policy in Open Economies and Monopolistic Competition

This paper analyses the implications of international trade for non-cooperative environmental policy in the case of local production externalities. A particular focus is on the potential effects of regulations on the variety of goods and the resulting international spillover caused by trade. A tougher domestic standard negatively affects the utility of the households abroad, since such a policy reduces their variety of imports (due to fewer domestic product inventions) or their consumption of each imported brand (due to higher import prices). Ignoring the negative spillover, non-cooperative governments implement inefficiently strict standards in equilibrium. In contrast to this clear-cut inefficiency result, the impact of international trade on the state of the environment is ambiguous.     

OPTIONS TO THE REALM: A COST NEUTRAL PROPOSAL TO IMPROVE POLITICAL INCENTIVES

In this article, we draw on the literature on political property rights, political accountability, and strategic management and entrepreneurship to propose a cost neutral reform aimed at promoting long‐run economic prosperity. We propose replacing politicians' defined benefit pensions with a financial contract that is tied to economic performance. In particular, we propose a contract that pays out a lump sum to a politician 30 years after their election if real gross domestic product per capita is above some preset benchmark. Furthermore, we show that the contract can be priced such that it is cost neutral in terms of present value with a defined‐benefit pension. We argue that this contract provides a net benefit to society. (JEL D70, D72)     

Post‐Cameralist Governance: Towards a Robust Political Economy of Bureaucracy

I develop a robust political economy of bureaucracy by highlighting the conditions necessary for hierarchical administrative bodies to govern protectively and productively, but not predatorily. These conditions are residual claimancy and jurisdictional competition. I make this argument by exploring a post‐cameralist interpretation of governance. Cameralism arose as a governance philosophy in the fractured principalities of seventeenth‐century Germany following the Thirty Years' War. Post‐cameralism focuses not on particular cameralist governance strategies but on a paradigm which sees governance as an activity provided within a larger exchange order, rather than imposing itself on that order as in more conventional treatments of public economics. While a post‐cameralist conception of governance comes with its own challenges, such as tensions with normative visions that promote self‐governance, it nonetheless presents an intriguing synthesis of monocentric and polycentric insights.     

THEORY AND PRACTICE OF GVAR MODELLING

The Global Vector Autoregressive (GVAR) approach has proven to be a very useful approach to analyse interactions in the global macroeconomy and other data networks where both the cross‐section and the time dimensions are large. This paper surveys the latest developments in the GVAR modelling, examining both the theoretical foundations of the approach and its numerous empirical applications. We provide a synthesis of existing literature and highlight areas for future research.