This short paper provides an example which shows that the type of the spillover effect from one individual to another (and hence whether we under-tax, or overtax, in a Nash equilibrium relative to a cooperative one) can be reversed when we introduce dynamics into a model with public goods. Specifically, the spillover effect changes from positive (which is the static, traditional case) to negati...

We consider that it is very essential to base economics theory on measurable quantity from the beginning, because optimization at individual and aggregate levels is the very hallmark of modern economics theory (Tubaro, 2006, p.1 [3]). That measurable quantity can be observed by virtue of experiment or field observation. Indeed, we think that such an experimental approach is new and original in ...

Software defect-detection techniques such as tests or reviews are still the prevalent means to assure the quality of a program. Although these techniques constitute a significant part of the overall development costs, their economics and interplay is still not fully understood. This paper proposes a model of software quality economics for defect-detection techniques with an emphasis on the comb...

The theory of rational efficient markets dominated financial economics three decades ago. In recent years, however, psychology-inspired behavioral finance has overshadowed it. Both critics and proponents of the use of psychology in economics and finance base their positions on the premise that psychology primarily deals with human fallibility, systematic mistakes and biased judgment (Kahneman, ...

Based on competence-based view and network economics, this study intends to explore the determinants and the impact of customer base of Internetbased firms. This study suggests that the types of firm capabilities (technological versus marketing) are determined the customer base, and the customer base and firm capabilities impact on firm performance as well. Drawing on website traffic data and s...