firms. Communication is often abused for explicit agreements and this strongly reduces competition. …

-known commitment problem by introducing communication. Allowing the upstream firm to chat privately with each downstream firm reduces … total offered quantity from near the Cournot level (observed in the absence of communication) halfway toward the monopoly … bargaining advantage from open communication that all of the gains from monopolizing the market accrue to them. A simple …

experiments with written cheap-talk communication between players and we compare them to treatments without the possibility to … tacitly but that the number of firms does not significantly affect outcomes with communication. As a result, the payoff gain … from communication increases with the number of firms, at a decreasing rate. …

This paper experimentally investigates free-riding behavior on communication cost in a coordination game and finds … strong indications of such free-riding. Firstly, the subjects wait for others to send a message when communication is costly …, which does not happen when communication is costless. Secondly, the proportion of games where no communication or one …

We ask whether communication can directly substitute for memory in dynastic repeated games in which short lived … by means of communication. When communication is costless and messages are sent simultaneously, communication mechanisms … or protocols exist that sustain the same set of equilibrium payoffs as in the standard repeated game. When communication …

It is well known that communication often serves as a facilitator for cooperation in static games. Yet, communication … can serve entirely different purposes in dynamic settings as communication during the game may work as a means for … investigates cooperation and non-binding communication in a two-stage game. More specifically, two treatments are considered: one …

This paper experimentally investigates free-riding behavior on communication cost in a coordination game and finds … strong indications of such free-riding. Firstly, the subjects wait for others to send a message when communication is costly …, which does not happen when communication is costless. Secondly, the proportion of games where no communication or one …

This paper investigates optimal communication mechanisms with a two-dimensional policy space and no monetary transfers … design), the optimal communication mechanism never exhibits any pooling and the agent's ideal policies are never chosen …-cooperative design) and enters separately into the agent's utility function, optimal mechanisms under private communication take again …

It is well known that communication often serves as a facilitator for cooperation in static games. Yet, communication … can serve entirely different purposes in dynamic settings as communication during the game may work as a means for … investigates cooperation and non-binding communication in a two-stage game. More specifically, two treatments are considered: one …

We explore the difference between explicit and tacit collusion by investigating the impact communication has in … largest additional profit from talking. We also find that industries continue to collude successfully after communication is … disabled. Communication supports firms in coordinating on collusive pricing schemes, and it is also used for conflict mediation. …