Final part of a lecture by University of California Santa Barbara Professor Weerachart "Tee" Kilenthong, in which he provides insight on his working paper with Robert Townsend, "Moral Hazard, Retrading, Externality, and Its Solution." This work provides insight on efficient competitive outcomes and how to remedy market deficiencies created by externalities.
The lecture was hosted by Enterprise Initiative at the University of Chicago on November 10, 2009. It was part of a lunch series focusing on current research in the area of development economics. The lecture series was funded by the John Templeton Foundation. The findings and conclusions contained in the report are those of the author(s) and do not necessarily represent the views of the funders.
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