Addison, John T; Chilton, John B - In: The Journal of Business 71 (1998) 3, pp. 349-69
Carliss Baldwin (1983) asks whether a firm can credibly deter union opportunism that would lead to underinvestment. The authors show that the punishments Baldwin considers credible exclude tougher threats that only have the appearance of being self-destructive. If the firm's discount factor is...