Banks continue to dier in many ways, for instance with respect to business models,growth strategies, or nancial health. Neglecting these dierences confuses ine-ciency with heterogeneity while sub-sample estimation prohibits eciency comparisonsacross dierent samples. We use a latent class...

Information management is a core process in banking, in particular when lending to small, opaquefirms. But while a more intensive use of information technology (IT) can enhance informationmanagement, it is also costly. Merely increasing IT expenditure may thus not be a panacea tooptimize...

In this paper, we propose an example of successive oligopolies where the downstream firmsshare the same decreasing returns technology of the Cobb-Douglas type. We stress thedifferences between the conclusions obtained under this assumption and those resultingfrom the traditional example...

In this paper we analyze how the technology used by downstream firms can influence inputand output market prices. We show via an example that both these prices increase under adecreasing returns technology while the contrary holds when the technology is constant....

This paper develops an asymmetric price setting oligopoly modelof store opening and closure decisions in the UK supermarket industrywhich is estimated using a survey of consumer choices and a datasetof store characteristics. The model is used to examine the strategiclocal entry and exit...

In the UK, SSAP 13 requires that firms immediately expense most of their R&D expenditures.The reported earnings of high-R&D expenditure firms are therefore likely to convey less valuerelevantinformation to investors than those of less research-intensive firms. Using a sample offirms from the...

The focus of the paper is on the remuneration of executives of large European banks. We describe the pay-for-performance sensitivity of the compensation and its disclosure as two dimensions of the board remuneration systems in the European countries.

The relationship between executive pay and corporate financial performance con-tinues to attract wide academic, media and policy attention. The very high salariesenjoyed by senior executives in corporations primarily in the North American coun-tries are often contrasted with the relatively low...

A theory of responsibility is provided in a simple model where agents care for their career prospects. First, two agents with uncertain abilities work on a task. Second, a principal decides to promote one of them. Three types of equilibria occur. One in which no agent is responsible for the task...

This paper describes the pay-for-performance sensitivity of the compensation and its disclosure as two dimensions of the board remuneration systems in the European countries.