TITLE:
Implications of University Resource Allocation under Limited Internal Adjustability
AUTHORS:
Yasumi Abe, Satoshi P. Watanabe
KEYWORDS:
University Decision Making, Resource Allocation, Prestige Maximization
JOURNAL NAME:
Theoretical Economics Letters,
Vol.5 No.5,
October
15,
2015
ABSTRACT: This paper provides a theoretical framework for explaining
counterintuitive behaviors of a university choosing an unfavorable consequence in
the long term while attempting to optimally allocate its resources in the short
term. Our analysis demonstrates the process through which conflicting interests among different departments within an
institution may lead to an internal allocation arrangement, which would not
necessarily yield the highest possible outcome for the whole.