Do contractual institutions and a country's level of trust interact in their impact on the international make-or-buy decision? By analyzing explicit and implicit contracting in a unified framework, I show that better formal contractibility may both facilitate and hinder relational contracting on...

Do contractual institutions and a country’s level of trust interact in their impact on the international make-or-buy decision? By analyzing explicit and implicit contracting in a unified framework, I show that better formal contractibility may both facilitate and hinder relational contracting...

Economists use relational or reputational concerns to explain the implicit enforcement of contracts. Both mechanisms require special assumptions concerning contracting parties' identities; in particular, these assumptions would not hold in one-period settings in which outcomes cannot affect...

We employ a unique dataset of 6,669 credit assessments for 3,542 small businesses by nine banks using an identical rating model over the period 2006-2011 to examine (i) to what extent loan officers use their discretion to smooth credit ratings of their clients, and (ii) to assess whether this...

This study provides experimental evidence on the effects of breach of subordinates’ psychological contracts on honesty of communications under participative budgeting. While participative budgeting can improve economic outcomes, it can also establish psychological contracts whereby...

We offer the first direct evidence of an implicit contract in a goods market. The evidence we offer comes from the market for Coca-Cola. We demonstrate that the Coca-Cola Company left a substantial amount of written evidence of its implicit contract with its consumers—a very explicit form of...

Traditional, face-to-face, office environments are gradually being replaced by virtual interaction and remote management. This physical separation can create circumstances in which conventional management approaches may no longer be appropriate. This research develops a model that explains how...

Die Rahmenbedingungen der Gestaltung von Arbeitsverhältnissen haben in den letzten Jahrzehnten einen grundlegenden Wandel erfahren. In Reaktion auf eine Internationalisierung der Märkte setzen Unternehmen auf neue Managementkonzepte und eine stärkere Arbeitsflexibilisierung. Zugleich haben...