In many professional activities humans are getting better generation by generation. This is supposed to be the case, for instance, in sports and in science. Is it true in the arts? In this paper, we consider violinists from the time period in which audio and video recordings became possible....

Research has shown that negotiators sometimes misrepresent their emotions, and communicate a different emotion to opponents than they actually experience. Less is known about how people evaluate such negotiation tactics. Building on person perception literature, we investigated in three...

We study the design of efficient mechanisms under asymmetric awareness and information. Unawareness refers to the lack of conception rather than the lack of information. Assuming quasi-linear utilities and private values, we show that we can implement in conditional dominant strategies a social...

Producers can leverage their bargaining power vis-'a-vis consumers by entering bargaining with debt. We discover novel general-equilibrium effects of such strategic debt by developing a money-search framework featuring heterogeneous consumers. Debt distorts trade along two margins: it destroys...

We conduct an artefactual field experiment in real-existing trade networks to analyze how individual network degree affects bargaining demands and outcomes. We combine data from a bilateral bargaining experiment with data of trade networks in 24 villages in Uganda. To identify the effect of...

We use novel surveys of firms and workers, linked to administrative employer-employee data, to study the prevalence and importance of individual bargaining in wage determination. We show that simple survey questions accurately elicit firms' bargaining strategies. Using the elicited strategies...

We develop a model that incorporates task-based production into a matching model with intrafirm wage bargaining. Unlike in existing task-based models, the representative firm derives the optimal task allocation as a function of capital and labor, rather than relative factor prices. Embedding...

We propose a standard search and bargaining model with divisible money, in which only the random matching market opens and the generalized Nash bargaining settles each trade. Assuming fixed production costs, we analytically characterize a tractable equilibrium, called a pay‐all equilibrium ,...

This article bridges monopoly, monopsony, and countervailing power theories to analyze their welfare implications in a vertical supply chain. We develop a bilateral monopoly model with bargaining that accommodates upstream monopsony and downstream monopoly power. In equilibrium, the...

This study investigates whether corruption differentially affects contracting through auctions and negotiations. Using data on Chinese land-market transactions, where corruption is known to be present, we first show that, on average, it exerts similar effects on transactions carried out via...

We investigate how buyer-supplier communication affects procurement prices, comparing auctions without direct communication to negotiations allowing it. In controlled experiments involving students and procurement professionals, we find communication increases prices, disadvantaging buyers....

A war consists of multiple battles, yet the theoretical literature of International Relations has given little attention to how battles relate within a war. By integrating two ultimatum games with private information played by an Aggressor and a Defender, we develop bargaining models of war with...

This study provides an overview of the status of international climate negotiations ahead of the climate change conference in Belém, Brazil, in November 2025. It covers the key topics under the United Nations Framework Convention on Climate Change and the Paris Agreement. This document was...

This study provides an overview of the status of international climate negotiations ahead of the climate change conference in Belém, Brazil, in November 2025. It covers the key topics under the United Nations Framework Convention on Climate Change and the Paris Agreement. This document was...

In an experiment on the large language model GPT-4o, a supplier always makes a higher profit if it replaces uniform contract terms with a set of terms between which the customer may choose. The extra profit results from price discrimination. There is a first order and a second order effect. The...

The recent salience of immigration as an issue among segments of the population in wealthy countries has often been understood as a product of tension between economic interests and cultural preferences. However, such explanations largely ignore differences in power between immigrant and native...

Schelling (1956) first clarified how power to reduce one’s freedom of choice might benefit a bargaining party. A commitment to reject proposals, when successful, may force concessions from opponents who otherwise might have an upper hand. This paper experimentally studies credible commitments...