A Synthesis of Agency and Managerial Power Theories and Its Applications to Corporate Governance, Management Compensation, and Firm Performance. The existing models of corporate governance in economics and finance based on agency theory do not successfully portray all modern corporations. Thus the importance of a new and rigorous way to study corporate governance can be hardly exaggerated. This project will provide a synthesized theory of corporate governance and is expected to produce highest- ....A Synthesis of Agency and Managerial Power Theories and Its Applications to Corporate Governance, Management Compensation, and Firm Performance. The existing models of corporate governance in economics and finance based on agency theory do not successfully portray all modern corporations. Thus the importance of a new and rigorous way to study corporate governance can be hardly exaggerated. This project will provide a synthesized theory of corporate governance and is expected to produce highest-quality research publishable in top-tier journals. This will, among others, enhance Australia's standing as a knowledge nation. This project is also expected to contribute to the discussions on how to improve corporate governance and regulation of management compensation both in Australia and abroad. Read moreRead less
Information and market price manipulation in trade. As we can see from the financial crisis, speculative trading in financial markets can have real world effects. Inside traders can exploit their information for more profits. At this stage, we do not fully understand the role of diverse information in the financial system and we need better ways to model price manipulation and information in a dynamic setting. This proposal seeks to supply a reference framework for analyzing price manipulatio ....Information and market price manipulation in trade. As we can see from the financial crisis, speculative trading in financial markets can have real world effects. Inside traders can exploit their information for more profits. At this stage, we do not fully understand the role of diverse information in the financial system and we need better ways to model price manipulation and information in a dynamic setting. This proposal seeks to supply a reference framework for analyzing price manipulation. Recently, there has been an increasing interest in the informed trader's dynamic strategy. By strengthening this research area, this project will give new momentum to Australian economic theory.Read moreRead less
Australian Laureate Fellowships - Grant ID: FL120100034
Funder
Australian Research Council
Funding Amount
$2,002,560.00
Summary
Black swans and unknown unknowns: financial markets and their interaction with the macroeconomy in the presence of unanticipated contingencies. Unforeseen contingencies, also called 'black swans' or 'unknown unknowns' pose serious difficulties for decisionmakers. This project will examine how financial regulation can be improved to reduce the vulnerability of the financial system and the macroeconomy to unforeseen shocks.
New Directions in Information Economics and Environmental Policy. Recent developments in economic theory, experimental economics, information systems and biophysical modelling have made possible a new generation of policy instruments that can be applied in environmental economics. A recent pilot study of biodiversity preservation auctions in Victoria has demonstrated the practicality in principle of these techniques. We will build on this pilot study to develop practical policy instruments based ....New Directions in Information Economics and Environmental Policy. Recent developments in economic theory, experimental economics, information systems and biophysical modelling have made possible a new generation of policy instruments that can be applied in environmental economics. A recent pilot study of biodiversity preservation auctions in Victoria has demonstrated the practicality in principle of these techniques. We will build on this pilot study to develop practical policy instruments based on these principles.Read moreRead less
International Comparisons of Consumption, Incomes and Prices. This project will provide insights into the workings of the world economy, and how it might change in the future. This will be beneficial to the Australian economy as the role of international trade in goods, people and capital is likely to become even more important to us in the future. The project will also enhance Australia's reputation for producing high-level research of both a fundamental and applied nature in consumption econ ....International Comparisons of Consumption, Incomes and Prices. This project will provide insights into the workings of the world economy, and how it might change in the future. This will be beneficial to the Australian economy as the role of international trade in goods, people and capital is likely to become even more important to us in the future. The project will also enhance Australia's reputation for producing high-level research of both a fundamental and applied nature in consumption economics and international economics. It is hoped that the training of research students will be a further benefit of the project.Read moreRead less
Legitimacy and representation: A comprehensive study of electoral systems and strategic voting behaviour. What makes a good electoral system? How can it reflect the preference of the majority while guaranteeing representation to minorities? Should voting be voluntary or mandatory? These are very relevant questions for any democracy, but particularly so for Australia: a country which has always been at the forefront of the electoral debate, that proudly strives to represent with fairness all sect ....Legitimacy and representation: A comprehensive study of electoral systems and strategic voting behaviour. What makes a good electoral system? How can it reflect the preference of the majority while guaranteeing representation to minorities? Should voting be voluntary or mandatory? These are very relevant questions for any democracy, but particularly so for Australia: a country which has always been at the forefront of the electoral debate, that proudly strives to represent with fairness all sectors of its very diverse society and where voting is not only a citizen's right, but also her duty. By approaching these issues in a game theoretic framework, this project proposes to investigate the strategic nature of voting through a comprehensive study of electoral systems. The project will then test our theoretical predictions through a series of laboratory experiments. Read moreRead less
Economic efficiency and the provision of incentives for information acquisition and disclosure: a mechanism design approach. By uncovering what determines information acquisition, highlighting what allows experts and insiders to manipulate market outcomes, and studying the efficiency gains obtainable with the use of a variety of incentives schemes, this research will provide valuable insights for public policy concerning information diffusion and market transparency.
Resilient Democracy for the 21st Century. This project will establish novel foundational theoretical frameworks for the design of democratic institutions that can withstand internal and external pressure towards autocratisation. It will develop state of the art dynamic models of information manipulation and political dynamics, and analyse large-scale online survey experiments, as well as contemporary and historical data. This combination will deliver new insights into the management of sensitive ....Resilient Democracy for the 21st Century. This project will establish novel foundational theoretical frameworks for the design of democratic institutions that can withstand internal and external pressure towards autocratisation. It will develop state of the art dynamic models of information manipulation and political dynamics, and analyse large-scale online survey experiments, as well as contemporary and historical data. This combination will deliver new insights into the management of sensitive information and how to protect democracy from information manipulation. Ultimately, the project will generate a body of theoretical and empirical evidence for the design of more effective and resilient democratic institutions for a more inclusive economic development. Read moreRead less
Discovery Early Career Researcher Award - Grant ID: DE200100590
Funder
Australian Research Council
Funding Amount
$416,154.00
Summary
Optimal policy and mechanism design in education and labour markets. This project aims to investigate the optimal design and efficiency implications of education and labour market policies such as differential treatment in school assignment, university admissions, hiring and promotions within organisations. The project expects to develop novel theoretical models of public policy using techniques from information economics and mechanism design. The expected outcomes of this project include an enh ....Optimal policy and mechanism design in education and labour markets. This project aims to investigate the optimal design and efficiency implications of education and labour market policies such as differential treatment in school assignment, university admissions, hiring and promotions within organisations. The project expects to develop novel theoretical models of public policy using techniques from information economics and mechanism design. The expected outcomes of this project include an enhanced capacity to design policies and a new conceptual framework to assess their efficiency. This should enable policymakers and organisations to implement more efficient policies, and inform public debates on the merits of preferential treatment, gender equity policies and other education and labour market policies. Read moreRead less
Inductive game theory: experiential knowledge, interactions, and limited inferences in social contexts. This research project stresses the importance of limited experiences and limited inferential abilities for explaining differences observed across individuals and groups in society. The project will use inductive game theory to attack problems and conflicts between individuals and groups based on such limitations.