Online Appendix for “Eponymous Entrepreneurs”
نویسندگان
چکیده
This appendix has three parts. §A contains formal analysis and proofs for the model. Additional results are also derived. §B describes our methodology for identifying eponymous firms, and shows our results are robust to alternative methods. §C contains additional empirical results and robustness checks. §A Formal Analysis of the Model Preliminaries We note three properties of the sender's expected payo↵ function, u ✓ : i) u ✓ is di↵erentiable in both of its arguments; ii) @u ✓ @µ > 0; iii) u H (s, µ) u L (s, µ) for any (s, µ), and the inequality is strict if and only if µ 2 (0, 1). Property (i) is immediate. To see (ii), let V 1 , V 2 be the sender's first-and second-period payo↵ functions, respectively. Note that u H (s, µ 1) = V 1 (µ 1) + pV 2 (s, µ 2 (µ 1 , h)) + (1 p)V (s, µ 2 (µ 1 , l)). Therefore, @u H @µ 1 = @V 1 @µ 1 + p @V 2 @µ 2 @µ 2 (µ 1 , h) @µ 1 + (1 p) @V 2 @µ 2 @µ 2 (µ 1 , l) @µ 1. Using the expressions for V 1 , V 2 , and Bayes rule for µ 2 , we get @V 1 @µ 1 = 2p 1 > 0, @µ 2 (µ 1 , h) @µ 1 = (1 p)p (1 p µ 1 + 2pµ 1) 2 > 0, @V 2 @µ 2 = s(1 +) > 0, @µ 2 (µ 1 , l) @µ 1 = (1 p)p (p + µ 1 2pµ 1) 2 > 0, which imply the result when ✓ = H. A symmetric argument holds for ✓ = L. For (iii), see that u H (s, µ 1) u L (s, µ 1) = (2p 1) V 2 (s, µ 2 (µ 1 , h)) V 2 (s, µ 2 (µ 1 , l)) = (1 +)(1 2p) 2 s(1 µ 1)µ 1 µ 1 µ 2 1 + (p p 2) (2µ 1 1) 2. It is clear that the numerator is positive for all µ 1 2 (0, 1) and zero when µ 1 = 0, 1. Because p 2 (1 2 , 1), the detonator is positive for all µ 1 2 [0, 1], giving the result.
منابع مشابه
Eponymous Entrepreneurs
We demonstrate that firm eponymy—the familiar convention of firms being named after their owners—is linked to superior performance. We propose a novel explanation, referred to as “utility amplification,” and develop a corresponding signaling model. The model generates three main empirical predictions: (1) The incidence of eponymy will be low; (2) Eponymous firms will outperform other firms; (3)...
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تاریخ انتشار 2016