Matthew Stephenson

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  • Sanford C Gordon, Catherine Hafer, We, Neal Beck, Bruce Bueno De Mesquita, Sven Feldmann +10 others
  • 2005
R egulatory agencies impose costs and benefits tailored to individual firms through their discre-tionary enforcement activities. We propose that corporations use political expenditures in part to " flex their muscles " to regulators and convey their willingness to fight an agency's specific determinations in the political arena. Because the signaling(More)
We develop a game-theoretic model wherein a government establishes a mandate for product quality without possessing effective enforcement abilities, and a firm chooses whether to ignore, comply with, or exceed the government quality standard. After bringing a product to market, the firm faces the possibility of nonmarket reactions by interests such as trial(More)
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