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Contextually Private Mechanisms

By Andreas Haupt and Zoë Hitzig

American Economic Review

A designer employs a dynamic protocol to elicit private information. Protocols produce a set of contextual privacy violations— information learned that may be superfluous given the context. A protocol is maximally contextually private if there is no ...

Resource Misallocation in European Firms: The Role of Constraints, Firm Characteristics and Managerial Decisions

By Yuriy Gorodnichenko, Debora Revoltella, Jan Svejnar, and Christoph T. Weiss

American Economic Journal: Macroeconomics

Using a new survey, we document high dispersion of marginal revenue products across firms in the European Union (EU). To interpret this dispersion, we develop a highly portable framework to quantify gains from better allocation of resources. We demonstrat...

Monetary Policy without Commitment

By Hassan Afrouzi, Marina Halac, Kenneth Rogoff, and Pierre Yared

American Economic Review

This paper studies the implications of central bank credibility for long-run inflation and inflation dynamics. We introduce central bank lack of commitment into a standard non-linear New Keynesian economy with sticky-price monopolistically competitive ...