Credit has been found to be a catalyst for economic growth, as it spurs investment, enhances productivity, allows costs to be spread out over time, improves resource allocation, and enables investors to cope better with macroeconomic volatility. Most studies focus on the relationship between financial development and growth at the country level, while few analyze the relationship at the firm le...

This article argues that the existing maze of pesticide policies reflects the multidimensionality of side effects of pesticide use that cannot be addressed by uniform policies. Pesticide policies will improve as (a) economic literacy among natural scientists and policymakers increases; (b) economic models of pesticide use and agricultural production in general better incorporate biological cons...

This paper examines whether a country’s corporate transparency environment (which includes the quality of accounting information) contributes to efficient resource allocation. Specifically, we examine whether improved transparency allows firms to take advantage of global growth opportunities, building on the work of Fisman and Love (2004) and Rajan and Zingales (1998). Based on a cross-country ...

Credit has been found to be a catalyst for economic growth, as it spurs investment, enhances productivity, allows costs to be spread out over time, improves resource allocation, and enables investors to cope better with macroeconomic volatility. Most studies focus on the relationship between financial development and growth at the country level, while few analyze the relationship at the firm le...

This survey presents some representative works which apply economic models and mechanisms to resource allocation problems. First, an introduction to the resource allocation problem is presented. Then, some remarks about economic theory are presented, including some fundamental mechanisms and models. Representative applications of economic mechanisms and models are summarized, and some works reg...

Increasing competition for water across sectors increases the importance of the river basin as the appropriate unit of analysis to address the challenges facing water resources management; and modeling at this scale can provide essential information for policymakers in their resource allocation decisions. This paper introduces an integrated economic–hydrologic modeling framework that accounts f...

This paper augments an R&D-based growth model of the third generation with human capital accumulation and impure altruism, calibrates it with U.S. data, and investigates whether the market provides too little or too much R&D. For benchmark parameters the market share of employment in R&D is close to the socially optimal allocation. Sensitivity analysis shows that the order of magnitude of possi...