In addition to penalties imposed for breaches of statutory duties in the event of workplace accidents involving physical harms, New Zealand’s Health and Safety in Employment Act 1992 also provides for penalties where accidents have not occurred. Ordinary negligence rules are ex post in that both an accident and harm must occur before liability accrues, whereas ex ante liability rules create lia...

This paper develops a trade model in which two heterogeneous firms located in two different countries make their productivity choices by choosing their optimal R&D investment levels and then make a mode choice between exporting, licensing and FDI under Cournot competition in an open economy. The ex-ante difference in the cost efficiency of two firms will lead to difference combinations of ex-po...

Evidence from both psychology and economics shows that people exaggerate the similarity between the information they have and the information available to others. I present a model of such information projection by assuming that after processing a signal a person overestimates the probability with which this signal is available to others. I apply the model to agency and communication settings. ...

In some, but not all, contexts, respondents to stated preference valuation studies state a willingness to pay (WTP) higher than what lab or field experiments indicate is the actual amount they would pay. However, several ex ante survey design strategies and ex post calibration techniques can be used to minimize or eliminate hypothetical bias. This article reviews and presents evidence on the ef...

To determine the effect of carbohydrate (CHO) status on immune responses after long-duration exercise, on two occasions, 10 men completed a glycogen-depleting bout of cycle ergometry followed by 48 h of either a high-CHO diet (HiCHO; 8.0 g CHO/kg) or a low-CHO diet (LoCHO; 0.5 g CHO/kg). After the 48 h, subjects completed a 60-min ride at 75% maximal O2 uptake (EX). Blood samples were taken pre...

In a landmark paper in the mechanism design literature, Cremer and McLean (1985) (CM for short) show that when a bidders valuation is correlated with an external signal, a monopolistic seller is able to extract the full social surplus as revenue. In the original paper and subsequent literature, the focus has been on ex-post incentive compatible (or IC) mechanisms, mechanisms where truth telling...

This paper examines an informed principal-agent game with ex post participation constraints for the agent. It shows that the players do not loss by communicating in turn among themselves rather than simultaneously if and only if the principal communicates first. It then considers any Bayesian allocation rule implemented in this bilateral asymmetric information framework. It provides necessary a...

We consider repeated games with incomplete information where players observe imperfect public signals of the actions and the map from actions to signal distributions is itself unknown. To do so, we introduce the concept of type-contingent perfect public ex-post equilibrium or T-PPXE, which reduces to the PPXE of Fudenberg and Yamamoto (2009) in complete-information games, and reduces to the bel...