Digital Commons Network^™

Inefficient Liquidity Provision, John Geanakoplos, Kieran James Walsh

Cowles Foundation Discussion Papers

We prove that in competitive market economies with no insurance for idiosyncratic risks, agents will always overinvest in illiquid long term assets and underinvest in short term liquid assets. We take as our setting the seminal model of Diamond and Dybvig (1983), who first posed the question in a tractable model. We reach such a simple conclusion under mild conditions because we stick to the basic competitive market framework, avoiding the banks and intermediaries that Diamond and Dybvig and others introduced.

The Scope Of Sequential Screening With Ex-Post Participation Constraints, Dirk Bergemann, Francisco Castro, Gabriel Weintraub

Cowles Foundation Discussion Papers

We study the classic sequential screening problem in the presence of ex-post participation constraints. We establish necessary and sufficient conditions that determine exhaustively when the optimal selling mechanism is either static or sequential. In the static contract, the buyers are not screened with respect to their interim type and the object is sold at a posted price. In the sequential contract, the buyers are screened with respect to their interim type and a menu of quantities is offered. We completely characterize the optimal sequential contract with binary interim types and a continuum of ex-post values. Importantly, the optimal sequential contract …

Zone Pricing In Retail Oligopoly, Brian Adams, Kevin R. Williams

Cowles Foundation Discussion Papers

We quantify the welfare effects of zone pricing, or setting common prices across distinct markets, in retail oligopoly. Although monopolists can only increase profits by price discriminating, this need not be true when firms face competition. With novel data covering the retail home improvement industry, we find that Home Depot would benefit from finer pricing but that Lowe’s would prefer coarser pricing. The use of zone pricing softens competition in markets where firms compete, but it shields consumers from higher prices in markets where firms might otherwise exercise market power. Overall, zone pricing produces higher consumer surplus than finer pricing …

Behavioral Characterizations Of Naiveté For Time-Inconsistent Preferences, David S. Ahn, Ryota Iijima, Yves Le Yaouanq, Todd Sarver

Cowles Foundation Discussion Papers

We propose nonparametric definitions of absolute and comparative naivete. These definitions leverage ex-ante choice of menu to identify predictions of future behavior and ex-post (random) choices from menus to identify actual behavior. The main advantage of our definitions is their independence from any assumed functional form for the utility function representing behavior. An individual is sophisticated if she is indifferent between choosing from a menu ex-post or committing to the actual distribution of choices from that menu ex-ante. She is naive if she prefers the flexibility in the menu, reflecting a mistaken belief that she will act more virtuously than …

Behavioral Characterizations Of Naiveté For Time-Inconsistent Preferences, David S. Ahn, Ryota Iijima, Yves Le Yaouanq, Todd Sarver

Cowles Foundation Discussion Papers

We propose nonparametric definitions of absolute and comparative naivete. These definitions leverage ex-ante choice of menu to identify predictions of future behavior and ex-post (random) choices from menus to identify actual behavior. The main advantage of our definitions is their independence from any assumed functional form for the utility function representing behavior. An individual is sophisticated if she is indifferent ex-ante between retaining the option to choose from a menu ex-post or committing to her actual distribution of choices from that menu. She is naive if she prefers the flexibility in the menu, reflecting a mistaken belief that she will …

Information Design: A Unified Perspective, Dirk Bergemann, Stephen Morris

Cowles Foundation Discussion Papers

Fixing a game with uncertain payoffs, information design identi.es the information structure and equilibrium that maximizes the payoff of an information designer. We show how this perspective unifies existing work, including that on communication in games (Myerson (1991)), Bayesian persuasion (Kamenica and Gentzkow (2011)) and some of our own recent work. Information design has a literal interpretation, under which there is a real information designer who can commit to the choice of the best information structure (from her perspective) for a set of participants in a game. We emphasize a metaphorical interpretation, under which the information design problem is used …

Information Design: A Unified Perspective, Dirk Bergemann, Stephen Morris

Cowles Foundation Discussion Papers

Given a game with uncertain payoffs, information design analyzes the extent to which the provision of information alone can influence the behavior of the players. Information design has a literal interpretation, under which there is a real information designer who can commit to the choice of the best information structure (from her perspective) for a set of participants in a game. We emphasize a metaphorical interpretation, under which the information design problem is used by the analyst to characterize play in the game under many different information structures. We provide an introduction into the basic issues and insights of a …

The Scope Of Sequential Screening With Ex-Post Participation Constraints, Dirk Bergemann, Francisco Castro, Gabriel Weintraub

Cowles Foundation Discussion Papers

We study the classic sequential screening problem under ex-post participation constraints. Thus the seller is required to satisfy buyers’ ex-post participation constraints. A leading example is the online display advertising market, in which publishers frequently cannot use up-front fees and instead use transaction-contingent fees. We establish when the optimal selling mechanism is static (buyers are not screened) or dynamic (buyers are screened), and obtain a full characterization of such contracts. We begin by analyzing our model within the leading case of exponential distributions with two types. We provide a necessary and sufficient condition for the optimality of the static contract. …

The Scope Of Sequential Screening With Ex-Post Participation Constraints, Dirk Bergemann, Francisco Castro, Gabriel Weintraub

Cowles Foundation Discussion Papers

We study the classic sequential screening problem under ex-post participation constraints. Thus the seller is required to satisfy buyers’ ex-post participation constraints. A leading example is the online display advertising market, in which publishers frequently cannot use up-front fees and instead use transaction-contingent fees. We establish when the optimal selling mechanism is static (buyers are not screened) or dynamic (buyers are screened), and obtain a full characterization of such contracts. We begin by analyzing our model within the leading case of exponential distributions with two types. We provide a necessary and sufficient condition for the optimality of the static contract. …

The Scope Of Sequential Screening With Ex-Post Participation Constraints, Dirk Bergemann, Francisco Castro, Gabriel Weintraub

Cowles Foundation Discussion Papers

We study the classic sequential screening problem in the presence of buyers’ ex-post participation constraints. A leading example is the online display advertising market, in which publishers frequently do not use up-front fees and instead use transaction-contingent fees. We establish conditions under which the optimal selling mechanism is static and buyers are not screened with respect to their interim type, or sequential and the buyers are screened with respect to their interim type. In particular, we provide an intuitive necessary and sufficient condition under which the static contract is optimal for general distributions of ex-post values. Further, we completely characterize …

The Scope Of Sequential Screening With Ex-Post Participation Constraints, Dirk Bergemann, Francisco Castro, Gabriel Weintraub

Cowles Foundation Discussion Papers

We study the classic sequential screening problem in the presence of ex-post participation constraints. We establish necessary and sufficient conditions that determine when the optimal selling mechanism is either static or sequential. In the static contract, the buyers are not screened with respect to their interim type and the object is sold at a posted price. In the sequential contract, the buyers are screened with respect to their interim type and a menu of quantities is offered. We completely characterize the optimal sequential contract with binary interim types and a continuum of ex-post values. Importantly, the optimal sequential contract randomizes …

Zone Pricing In Retail Oligopoly, Brian Adams, Kevin R. Williams

Cowles Foundation Discussion Papers

We quantify the welfare effects of zone pricing, or setting common prices across distinct markets, in retail oligopoly. Although monopolists can only increase profits by price discriminating, this need not be true when firms face competition. With novel data covering the retail home improvement industry, we find that Home Depot would benefit from finer pricing but that Lowe’s would prefer coarser pricing. Zone pricing softens competition in markets where firms compete, but it shields consumers from higher prices in rural markets, where firms might otherwise exercise market power. Overall, zone pricing produces higher consumer surplus than finer price discrimination does.

Zone Pricing In Retail Oligopoly, Brian Adams, Kevin R. Williams

Cowles Foundation Discussion Papers

We quantify the welfare effects of zone pricing, or setting common prices across distinct markets, in retail oligopoly. Although monopolists can only increase profits by price discriminating, this need not be true when firms face competition. With novel data covering the retail home improvement industry, we find that Home Depot would benefit from finer pricing but that Lowe’s would prefer coarser pricing. Zone pricing softens competition in markets where firms compete, but it shields consumers from higher prices in markets where firms might otherwise exercise market power. Overall, zone pricing produces higher consumer surplus than finer pricing discrimination does.

The Anatomy Of Financial Vulnerabilities, Lee Seung Jung, Kelly E. Posenau, Viktors Stebunovs

Documents

No abstract provided.

Managing Stigma During A Financial Crisis, Sriya Anbil

Documents

No abstract provided.

Effectiveness And Transmission Of The Ecb's Balance Sheet Policies, Jef Boeckx, Maarten Dossche, Gert Peersman

Documents

No abstract provided.

Collateral Guidelines On Eligible Foreign Bonds, Bank Of Japan/Central Bank Of Japan

Documents

No abstract provided.

Principal Terms And Conditions For The Purchase Of Cp With Repurchase Agreements, Bank Of Japan/Central Bank Of Japan

Documents

No abstract provided.

Amendment To The Domestic Custody Agreement Between Jpmorgan Chase Bank, N.A. And Federal Reserve Bank Of New York, Federal Reserve System: Federal Reserve Bank Of New York, Jpmorgan Chase & Co.

Documents

Amends and supplements the Domestic Custody Agreement.

Sigtarp Quarterly Report To Congress January 27, 2017, United States: Office Of The Special Inspector General For The Tarp

Documents

No abstract provided.

Statement By The Eurogroup And Ecofin Ministers On Ireland, European Union: European Commission

Documents

No abstract provided.

Total Loss-Absorbing Capacity, Long-Term Debt, And Clean Holding Company Requirements For Systemically Important U.S. Bank Holding Companies And Intermediate Holding Companies Of Systemically Important Foreign Banking Organizations, Federal Reserve System

Documents

No abstract provided.

Listing On The London Stock Exchange, The Bank Of Cyprus

Documents

No abstract provided.

Yale’S Environmental Performance Index: The Construction And Use Of A Composite Index For Global Sustainability, Zach Wendling

Yale Day of Data

No abstract provided.

Penetrance Estimates For Incidental Genomic Findings In Acmg-59, James A. Diao

Yale Day of Data

The dropping costs and rising popularity of next-generation sequencing has introduced the possibility of personalizing medical treatments and screening for genetic diseases. Still, the clinical community’s understanding remains incomplete, with limited consensus on the proper interpretation for many genetic variants. Thus, the standard procedure when returning sequencing results has been to report findings only in genes related to the diagnostic indication, and not incidental findings in other genes. To balance the threat of false positives with the medical benefits of true findings, the American College on Medical Genetics and Genomics (ACMG) recommends an exception: that clinical sequencing laboratories seek and …

Closing The Water Budget In An Experimental Urban Watershed: A Comparative Assessment Of Methods For Measuring Evapotranspiration, Leana M. Weissberg, Gaboury Benoit

Yale Day of Data

No abstract provided.

Extracting Geography From Datasets In Social Sciences, Yuke Li, Tianhao Wu, Nicholas Marshall, Stefan Steinerberger

Yale Day of Data

No abstract provided.

Urban Environmental Performance Index: The Quito Pilot Case, Diego C. Manya, Ryan Thomas, Matthew Moroney

Yale Day of Data

In the context of the adoption of the Sustainable Development Goals (SDG) and its indicators, especially Goal 11, the importance of indicators is paramount to the implementation, monitoring and eventual success of the SDG. However, a review of global sustainability indicators reveals major gaps in coverage, including scientific gaps. Indicators are often siloed, meaning at the urban scale where issues often overlap and intersect, existing indicators do not take into consideration cross-sectoral linkages. Finally, many indicators fail to adequately address social equity or inclusion, a high-priority issue identified as central to new definitions of green economy and sustainable development at …

Safer Chemicals Design Diagrams, Longzhu Shen, Fjodor Melnikov, John Roethle, Aditya Gudibanda, Richard Judson, Julie Zimmerman, Paul Anastas

Yale Day of Data

The NRF2-ARE antioxidant pathway is an important biological sensing and regulating system that responds to chemical insults. At minute level, it protects a living species to go through hard environmental conditions. However, when the external disruption exceeds the inherent resilience, cellular damage can occur, eventually leading to cytotoxicity. Therefore, studying the likelihood of a chemical activating the NRF2-ARE pathway is interesting to discovering therapeutic agents and designing safer chemicals. In this research, we engaged a combination of computational chemistry, statistical learning and mechanistic toxicology to estimate the likelihood of a chemical to perturb this critical toxicological pathway and derive a …

Need Vs. Supply Analysis Of The New Haven Public Bus System, Stan Mathis

Yale Day of Data

ABSTRACT:

The aim of the study was to assess how well the public transportation system of New Haven County was matched to the public transit need using publicly available geospatial datasets from state and federal sources. Geospatial bus stop data was extracted from public State of Connecticut data sets. Census tract geography was extracted from US Census TIGER files while census tract aggregated household vehicle access data was queried from the American Community Survey data access server. A census tract’s Need was defined as percentage of households reporting access to zero vehicles; its supply was defined as the number of …