Puzzles: Penny Stocks, Discount Brokers, Better Bidding, and More
AbstractIn presenting economic puzzles, I have three goals in mind: some puzzles are chosen to stimulate research; others offer examples that will help undergraduate and graduate teaching; all should provide quality distractions during seminars. This feature begins with reader's comments on the first "Puzzles." Next are several speed puzzles, with answers provided at the end. Here we have two Fischer Black problems in finance and a dot game from Richard Zeckhauser. Following are several longer puzzles, for which readers are challenged to submit their own answers. This issue's longer problems give you a chance to think about strategies for staying ahead (in sailboat racing to R&D racing) and not losing your head at an auction. The responses will be discussed in a future issue.
CitationNalebuff, Barry. 1988. "Puzzles: Penny Stocks, Discount Brokers, Better Bidding, and More." Journal of Economic Perspectives, 2 (1): 179-185. DOI: 10.1257/jep.2.1.179
- 011 General Economics