This paper characterizes the set of equilibrium networks in the two-way flow model of network formation with small decay, and this for all increasing benefit functions of the players. We show that as long as the population is large enough, this set contains large- as well as small-diameter...

This paper analyzes consumers' choices between, as well as behavior within three selling mechanisms which are frequently used in online marketplaces: posted prices, ascending auctions and Buy-It-Now auctions. In an exploratory experiment, where subjects choose between one mechanism and an...

Public procurement contracts require frequent renegotiation. We exploit the Czech implementation of an EU policy as a natural experiment to investigate the effect of eased renegotiation rules. We document that the eased renegotiation rules decreased winning bids but did not change the final...