We argue that since allocation mechanisms will not always be in equilibrium, their out-ofequilibrium properties must be taken into account along with their properties in equilibrium. For economies with public goods, we define a simple market-like mechanism in which the strong Nash equilibria yield the Lindahl allocations and prices. The mechanism satisfies critical out-of-equilibrium desiderata...

We examine a model that blends the neoclassical theory of investment with an intertemporal efficiency wage model with turnover costs. Investment decisions in capital are associated with the allocation of labor and the determination of efficiency wages. The model relates Tobin’s q to efficiency wages and, in particular, to the Solow condition. It provides a general framework to analyze firm’s in...

This paper studies the efficiency of competitive equilibria in economies where the expansion of investment is facilitated by securitization. We show that the use of securitization is generally associated with constrained inefficient aggregate investment, thereby justifying regulatory intervention in markets for securitized assets. We examine the effectiveness of three policy instruments to addr...

This study explores the effect of internal control weakness on investment efficiency of companies listed in Tehran Stock Exchange. The statistical population included all companies listed in Tehran Stock Exchange during the time period 2012-2015. Purposive sampling was the sampling method. Given the theoretical principles and the research literature, two hypotheses were proposed which were test...

Objective –This study intends to examine the relationship between investment efficiency and financial information excellence. The study is also examining the moderating impact of sustainability on the relation between excellence in financial information and investment productivity. Methodology –The cumulative measurements are 668 firm-years and are made up of 257 subsamples of underinvestment a...

At present, there is no consensus in the literature concerning the influence of different credit financing on investment efficiency of enterprises, especially the lack of empirical evidence in developing countries. In this paper, based on the World Bank enterprise survey data, using the Heckman sample selection model, we study the effects of bank credit and trade credit on investment efficiency...