We study mechanism design in dynamic quasilinear environments where private information
arrives over time and decisions are made over multiple periods. We make three …

Global financial imbalances can result from financial integration when countries differ in
financial markets development. Countries with more advanced financial markets accumulate …

This paper derives optimal income tax and human capital policies in a life cycle model with
risky human capital. The government faces asymmetric information regarding agents' ability …

We consider a dynamic Mirrlees economy in a life-cycle context and study the optimal
insurance arrangement. Individual productivity evolves as a Markov process and is private …

We propose a model of firm reputation in which a firm can invest or disinvest in product
quality and the firm's reputation is defined as the market's belief about this quality. We …

In this paper, I consider a dynamic economy in which a government needs to finance a
stochastic process of purchases. The agents in the economy are privately informed about …

We study optimal redistribution and insurance in a life-cycle economy with private
idiosyncratic shocks. We characterize Pareto optima, show the forces determining optimal …

We study dynamic optimal taxation in a class of economies with private information. Optimal
allocations in these environments are complicated and history-dependent. Yet, we show that …

This paper studies the optimal level of discretion in policymaking. We consider a fiscal policy
model where the government has time‐inconsistent preferences with a present bias toward …

Optimal tax design attempts to resolve a well-known trade-off: namely, that high taxes are
bad insofar as they discourage people from working, but good to the degree that, by …