A government agency wants an infrastructure-based public service to be provided. Our experimental study compares two di¤erent modes of provision. In a public-private partnership, the two tasks of building the infrastructure and operating it are delegated to one private contractor (a consortium), while under traditional procurement, these tasks are delegated to separate contractors. We …nd suppo...

This paper studies the optimality of securitized debt when information acquisition is endogenous and exible. A seller designs an asset backed security and a buyer decides whether to buy it to provide liquidity. Rather than treating the seller as an insider endowed with information, we assume no information asymmetry before bargaining. The buyer has an expertise in acquiring information of the f...

This paper investigates the impact of the competition for funds in capital markets on the risk taking behavior of fund managers. In doing this we …nd what we call an “Other People’s Money”e¤ect, or a tendency of people to invest the funds of others in riskier assets than they would invest their own funds. We …nd that this excessive risk taking is not a result of poorly designed contracts since ...

Reputation is a valuable asset to firms, yet the impact of corporate governance of reputationreliant firms is underexplored. This paper investigates how a firm’s reputation in the product market responds to a change in its controlling shareholder, and derives the optimal firm ownership and control structure. We consider a dynamic model of an experience-goods firm, in which a controlling shareho...

The present paper thoroughly explores second-best efficient allocations in an adverse selection insurance economy. We start from a natural extension of the classical model, assuming less than perfect risk perceptions. We propose first and second welfare theorems, by means of which we describe efficiencyenhancing policies. Notions of weak and strong adverse selection are promising for interpreti...

The behavior of exchange rate in various exchange markets is not seemingly predictable, while there are different forecasting methods to do so. One of these methods is to use fractals to identify exchange rate behavior. This paper has made attempts to explore the properties of fractals in Iran’s exchange market in order to it can predict and analyze the trend of exchange rate. Accordingly, th...

factor demand behavior such as energy demand has an important role in the economic analysis. this issue is a major concern in the developing countries (e.g. iran) which are benefited from vast energy resources. in this paper, the third generation of factor demand models is used to analyze the behavior of capital adjustment in the iranian manufacturing industries. the dataset covers the two-digi...

abstract main objective of this paper is the investigation the effect of support policies of government on income risk of poultry producers in iran for the 1989-2006. ccv index was used to investigate amount of variation that cause each support policies (market price support, support of agricultural inputs, outputs insurance) on income risk variation of producers. the results of this study show...

we have studied the relation between bank deposit rates and house prices in iran. for that, we have run some var models, using the following variables: real deposit rates (including 1 and 5 years deposit rates), money supply (including the high powered money and the liquidity), gdp, housing services index, and number of licenses for new houses. our results show that a reduction in the deposit r...

Beginning in the mid-1980s, the phenomenon of capital flight from developing countries received considerable attention in the economics literature. Capital flight destroys the domestic macroeconomic environment and decreases transparency and accountability. It restricts financial resources when a country is looking for economic growth and development. The purpose of this article is to measure t...