TheoreticalEconomics

@EconTheory

Theoretical Economics, a journal of the Econometric Society, publishes research in all areas of economic theory. All content is freely available.

TheoreticalEconomics
@EconTheory
Oct 15
Why do employers like exploding offers? Should universities discourage their graduating students from reneging on accepted offers? This paper studies when firms make offers with recall and the impact of policies discouraging reneging econometricsociety.org/publications/t…
TheoreticalEconomics
@EconTheory
Oct 15
Every ton of CO2 pushes us toward a tipping point nobody can locate. In "Acting in the Darkness" (forthcoming, TE), Louise Guillouet and I show optimal policy mixes caution (irreversibility), hope (surviving means the threshold may) econometricsociety.org/publications/t…
TheoreticalEconomics
@EconTheory
Oct 6
How should Machina's Mom allocate an indivisible good? A variation of Herstein and Milnor's mixture set theorem suggests Mom should use an entropy function econometricsociety.org/publications/t…
TheoreticalEconomics
@EconTheory
Oct 1
How does a profit-maximizing certifier design and price tests? Two information channels shape the optimal menu: what the test results reveal and what the buyer's choice of test reveals econometricsociety.org/publications/t…
TheoreticalEconomics
@EconTheory
Oct 1
How do contracts shape assortative matching when workers’ histories are private? This paper shows that screening contracts deliver geometric convergence, while adverse selection without them slows adjustment or stops it altogether econometricsociety.org/publications/t…