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dc.contributor.authorKräkel, Matthiasen_US
dc.description.abstractThis paper discusses the optimal firm size in the presence of influence activities, and the level of individual rent-seeking dependent on the economic situation of the firm. Since firm size has a discouraging effect on the level of individual rent-seeking but also a quantity effect as the number of rent-seekers increases, the interplay of both effects determines whether the employer chooses an inefficiently small or large firm size. In the given setting, a bad economic situation leads to both a higher probability of a substantial loss and a reduction of productivity. The productivity effect and the two other effects together determine the optimal level of individual rent-seeking.en_US
dc.relation.ispartofseriesBonn econ discussion papers 2006,16en_US
dc.subject.keywordeconomic situationen_US
dc.subject.keywordfirm sizeen_US
dc.subject.keywordinfluence activitiesen_US
dc.titleFirm Size, Economic Situation and Influence Activitiesen_US
dc.typeWorking Paperen_US
Appears in Collections:Bonn Econ Discussion Papers, Bonn Graduate School of Economics (BGSE), Universität Bonn

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