Showing 1 - 10 of 130
We study a canonical model of reputation between a long-run player and a sequence of short-run opponents, in which the … long-run player is privately informed about an uncertain state that determines the monitoring structure in the reputation … sufficient conditions (on the monitoring structure and the type space) to obtain reputation building in this setting …
Persistent link: https://www.econbiz.de/10012990091
Reputation concerns can discipline agents to take costly effort and generate good outcomes. But what if outcomes are … not always observed? We consider a model of reputation with shifting observability, and ask how this affects agents … reputation incentives and encourage effort. If an agent anticipates that outcomes may not be observed in the future, the benefits …
Persistent link: https://www.econbiz.de/10012990092
We show that if agents are risk neutral, prizes outperform wages if and only if there is sufficient pride and envy relative to the noisiness of performance. If agents are risk averse, prizes are a necessary supplement to wages (as bonuses)
Persistent link: https://www.econbiz.de/10013118185
This paper brings mechanism design to the study of conflict resolution in international relations. We determine when … and how unmediated communication and mediation reduce the ex ante probability of conflict, in a simple game where conflict … is due to asymmetric information. Unmediated communication helps reducing the chance of conflict as it allows conflicting …
Persistent link: https://www.econbiz.de/10013139372
We consider a multilateral Nash demand game where short-sighted players come to the bargaining table with requests for both coalition partners and the potentially generated resource. We prove that group learning leads with probability one to complete cooperation and a strictly self-enforcing...
Persistent link: https://www.econbiz.de/10012720824
We study how cultural distance affects the rejection of imposed institutions. To this purpose, we exploit the transplantation of Piedmontese institutions on Southern Italy which occurred during the Italian unification. We assemble a novel and unique dataset containing information on episodes of...
Persistent link: https://www.econbiz.de/10012950663
We study how cultural distance affects the rejection of imposed institutions. To do so, we exploit the transplantation of Piedmontese institutions on Southern Italy that occurred during the Italian unification. We assemble a novel and unique dataset containing municipal-level information on...
Persistent link: https://www.econbiz.de/10012941053
We propose a unified framework to study relational contracting and hold-up problems in infinite horizon stochastic games. We first illustrate that with respect to long run decisions, the common formulation of relational contracts as Pareto-optimal public perfect equilibria is in stark contrast...
Persistent link: https://www.econbiz.de/10013087220
Weak contract enforcement may reduce the efficiency of investment in developing countries. I study how contract enforcement affects efficiency in procurement auctions for the largest power projects in India. I gather data on bidding and ex post contract renegotiation and find that the...
Persistent link: https://www.econbiz.de/10012893445
The paper broadens the focus of empirical research on salesforce management to include multitasking settings with multidimensional incentives, where salespeople have private information about customers. This allows us to ask novel substantive questions around multidimensional incentive design...
Persistent link: https://www.econbiz.de/10013231656