THREE APPLICATIONS OF TRANSACTION COST ECONOMICS IN ROMANIA

We begin by investigating the use of complex contracts in Romania. A transparent transaction cost economics (TCE) model generates the hypothesis that buyer and seller relationship-specific investments have opposite effects on contract complexity. Our analysis counters the problem of unobserved heterogeneity, generates estimates of the effects of specific investments that are opposite in sign on opposite sides of the agreement, and explains the patterns in the biases of ordinary least-squares estimates. We continue by presenting a simple methodology for measuring transaction costs at agreement level. These costs are assessed as large, accounting for more than a fifth of value added. The validity of the measure is tested and quality of the data is analyzed. Finally, we investigate the determinants of transaction costs estimates thus obtained. Results show that TCE theory is very successful at predicting the existence of transaction costs and moderately so at predicting their size when incurred by firms.new institutional economics, transaction cost economics, contract complexity

On the Borda Method for Multicriterial Decision-Making

The present paper discusses two issues with multicriterial decision-making methods of Borda type (when scores such as n, n-1,…, 2, 1 are given to the objects to be ranked and the hierarchy is obtained based on the totals of these scores). The first issue is related to the influence on the result of various transformations of the scores. We show that a linear transformation of the scores does not change the final ranking and that (almost) any polynomial of second degree or more, with positive coefficients, can alter the solution (ranking). The same happens if one changes the scores by employing the logarithm, exponential, or square root functions. In the second part of the paper we consider an iterated version of the Borda method. We show that this method is not robust: there are cases when different solutions are returned at different iterations.borda method

THREE APPLICATIONS OF TRANSACTION COST ECONOMICS IN ROMANIA

International Monetary Fund Institute, 700 19th Street, N.W,.Washington, D.C. 20431application, transaction

Spherical electro-vacuum black holes with resonant, scalar QQ-hair

The asymptotically flat, spherical, electro-vacuum black holes (BHs) are shown to support static, spherical configurations of a gauged, self-interacting, scalar field, minimally coupled to the geometry. Considering a $Q$-ball type potential for the scalar field, we dub these configurations $Q$-clouds, in the test field approximation. The clouds exist under a resonance condition, at the threshold of (charged) superradiance. This is similar to the stationary clouds supported by Kerr BHs, which exist for a synchronisation condition, at the threshold of (rotational) superradiance. In contrast with the rotating case, however, $Q$-clouds require the scalar field to be massive and self-interacting; no similar clouds exist for massive but free scalar fields. First, considering a decoupling limit, we construct $Q$-clouds around Schwarzschild and Reissner-Nordstr\"om BHs, showing there is always a mass gap. Then, we make the $Q$-clouds backreact, and construct fully non-linear solutions of the Einstein-Maxwell-gauged scalar system describing spherical, charged BHs with resonant, scalar $Q$-hair. Amongst other properties, we observe there is non-uniqueness of charged BHs in this model and the $Q$-hairy BHs can be entropically preferred over Reissner-Nordstr\"om, for the same charge to mass ratio; some $Q$-hairy BH solutions can be overcharged. We also discuss how some well known no-hair theorems in the literature, applying to electro-vacuum plus minimally coupled scalar fields, are circumvented by this new type of BHs.Comment: 18 pages, 5 figures; v2. typos corrected, matches published versio