Jose Apesteguia and Miguel A. Ballester propose a new method for analyzing individual decision-making that measures human inconsistency and welfare costs.
If I call your Vodafone mobile from my Orange mobile, who should pay the cost of termination incurred by Vodafone? You, me, Orange or Vodafone? For that matter, which has the better business model – Europe with a “caller pays” system, or the US with an “everyone pays” system? Sjaak Hurkens and Angel L. López analyze an oligopoly of telecom networks to show how termination charges play a role in off-network usage and whether efficiency and profitability are achieved with current business models.
Salvador Barberà, Carmen Beviá, and Clara Ponsatí investigate the interactions between locational and distributive choices, and their consequences on the social composition of countries.
Alessandro Tarozzi, Jaikishan Desai, and Kristin Johnson investigate the impact of microcredits in rural Ethiopia.