The ability of a long-lived seller to maintain and profit from a good reputation may induce her to provide high quality … share it with the community and acquire a reputation for gossiping. Reputations function in tandem: sellers provide high … made public, while information holders share their information as a reputation for doing so results in higher effort from …

. Hence this contract incompleteness arises as a screening device. Moreover, the threat of costly divorce is credible since … ex-post amicable agreement, under specific circumstances. We also investigate conditions that make this contract …

features market power, unenforceable performance, reputation formation and endogenous matching of trading partners. Compared to …

Contract law's liquidated damage rules prevent enforcement of contractual damage measures that require the promisor, if …

In this paper, we prove that two firms can choose not to include a termination clause in their partnership contract … writing a contract without a termination clause is a credible commitment even when partners can add such a clause in the … contract in any moment of their relationship. …

procedures. A noisy signal, however, means that the optimal contract will involve terms that courts might view as punitive and so …