The Evolution of Reciprocity, Trust, and the Separation of Powers

This dissertation is composed of three self-contained essays on strategic interactions under incomplete contracting. Chapter 1 considers the evolution of reciprocal preferences in a setting where individuals live in separate groups. Chapter 2 analyzes the costs and benefits of a separation of powers in an incomplete contracts framework. Chapter 3 finally shows that, even when important parts of a relationship could be arranged perfectly by a complete contract, contractual incompleteness can arise endogenously if the proposal of a complete contract is perceived as a signal of distrust.