This study explores the dynamics of firm relocation in Johannesburg, South Africa, by analyzing the mass exodus of firms out of the city's Central Business District (CBD) over the past two decades. Using a historical approach, this study examines the interplay between urban form and firm behavior. We typically understand urban form to be a function of firm behavior-that is, firms choose their l...

This paper investigates the relationship between firm value and board composition with consideration of the effects of D&O insurance: monitoring incentive and moral hazard. Based on three measurements of firm value, we find that (1) D&O insurance provides monitoring incentive for the board; (2) firm value is significantly related to board composition and D&O insurance; and (3) the function of D...

We consider a competitive pricing problem where there are multiple firms with limited inventories of substitutable products. Each firm chooses the prices that it charges for its product over a finite selling horizon. The demand of each firm jointly depends on the prices of all firms in a deterministic fashion through a linear demand function. The goal of each firm is to choose its prices to max...

We consider the stochastic control model with finite time horizon for a mixed duopoly R&D (Research and Development) race between the profit-maximizing private firm and welfaremaximizing public firm. In our two-firm stochastic control R&D race model with input and output spillovers, the stochastic control variable is taken to be the private firm’s rate of R&D expenditure and the hazard rate of ...

We consider a bilateral delegation mixed duopoly with quantity setting, where the objective function of public managers is based on strategic manipulation Generalized Welfare Function. show that such manipulation, coupled by private firm, enables government to enforce an efficient outcome at equilibrium. When manipulation/delegation choices and their sequence are endogenized, supported equilibr...

This study uses the current financial crisis as a quasi-experiment to examine whether and to what extent corporate boards affect the performance of firms. Using cumulative stock returns over the crisis to measure of firm performance, we find that board independence, as traditionally defined, does not significantly affect firm performance. However, when we re-define independent directors as outs...