This paper shows that patients with private health insurance (PHI) are being offered significantly shorter waiting times than patients with statutory health insurance (SHI) in German acute hospital care. This behavior may be driven by the higher expected profitability of PHI relative to SHI holders.Further,we find that hospitals offering private insurees shorter waiting times as compared to SHI...

We report an experiment designed to study whether inefficient firms are systematically driven from overcrowded markets. Our data set includes a series of 3,800 wars of attrition of a type modeled by Fudenberg and Tirole in 1986. We find that exit tends to be efficient and exit times conform surprisingly well to point predictions of the model. Moreover, subjects respond similarly to implementati...

Macro-prudential authorities need to assess medium-term downside risks the real economy, caused by severe financial shocks. Before activating policy measures, they also consider their short-term negative impact. This gives rise a risk management problem, an inter-temporal trade-off between expected growth and risk. Predictive distributions are estimated with structural quantile vector autoregre...

This paper studies competition between firms when consumers observe a private signal of their preferences over products. Within the class structures that induce pure-strategy pricing equilibria, we derive are optimal for and those consumers. The firm-optimal policy amplifies underlying product differentiation, thereby relaxing competition, while ensuring purchase preferred product, maximizing t...

This paper quantifies the contribution of technology gaps to international income inequality. I develop an endogenous growth model where cross-country differences in R&D efficiency and cross-industry innovation adoption opportunities together determine equilibrium gaps, trade patterns, Countries with higher are richer have comparative advantage more innovation-dependent industries. calibrat...

This paper presents a novel and unique measure of cross-sectional uncertainty constructed from stock options on individual firms. Cross-sectional varied little between 1980 1995 subsequently had three distinct peaks—during the tech boom, financial crisis, coronavirus epidemic. has mixed relationship with overall economic activity, aggregate is much more powerful for forecasting growth. The data...

We introduce a search model where products differ in horizontal attributes and unobserved quality (“experience goods”), firms can establish reputation. show that the inability of consumers to observe before purchase significantly changes how frictions affect market performance. In equilibrium, higher costs reduce match values increase price but boost firms’ investment product quality. Under pla...

In this paper I prove a Folk theorem with T -private communication equilibria with an imperfect monitoring structure that may be public, private, and conditionally dependent or independent. I show that an efficient outcome is approachable as players become patient if every disobedience from efficiency is detectable by some player and some not necessarily efficient action profile. I also show th...

This article discusses the limitations of the orthodox economic theory of the firm as a nexus of contracts. Various experimental studies have shown that the aggregation of individuals in groups changes behavior and preferences systematically. This perspective has been formalized by models of interdependent preferences. Based on a prominent approach of interdependent preferences, intention-based...