We apply a real options approach to develop a general characterization of a firm’s optimal organizational mode. We find that the optimal exercise threshold for the establishment of (partial) in-house production is an increasing function of the underlying market uncertainty. However, contrary

We examine which form of production a manufacturer chooses between in-house produc-tion and outsourcing, when the manufacturer is faced with cost uncertainty and competes with a rival firm in a differentiated-good market. In in-house production, although the man-ufacturer can directly control

comparison of acquired and in-house product development projects

OUTSOURCING OR IN-HOUSE PRODUCTION? A REAL OPTIONS PERSPECTIVE ON OPTIMAL ORGANIZATIONAL MODE

The basic hypothesis is that, while the total supply of entrepreneurs varies anlong societies, the productive contribution of the society's entrepreneurial activities varies much more because of their allocation between productive activities such as innovation and largely unproductive

are predictable only when the control schema can be made explicit. On the production side, the model is con-cerned with the generation of recall and summarization protocols. This process is partly reproductive and partly constructive, involving the inverse operation of the macro-operators. The model is applied

Evolutionary theory has always been plagued by scantiness of evidence. We see the products of evolution but not much of the process. Most of the story happened long ago, and little remains of the early stages. Especially few traces of behavior remain; only recently were there artefacts that could

residual across countries. At a deeper level, we document that the differences in capital accumulation, productivity, and therefore output per worker are driven by differences in institutions and government policies, which we call social infrastructure. We treat social infrastructure as endogenous

(but decreasing marginal) productivity of labor, reduced growth rates of labor income, excess capacity, and the requirement for downsizing and exit. The last two decades indicate corporate internal control systems have failed to deal effectively with these changes, especially slow growth

We describe a method for removing noise from digital images, based on a statistical model of the coefficients of an overcomplete multiscale oriented basis. Neighborhoods of coefficients at adjacent positions and scales are modeled as the product of two independent random variables: a Gaussian