We develop a model of a sealed-bid first-price auction where the auctioneer acting on behalf of the seller may be involved in corruption. She is offered a bribe from one of the participants and can allow him to resubmit his bid. We show that the seller can often offer the auctioneer a...

We study games in which several principals design mechanisms in the presence of privately informed agents. Competition is exclusive: each type of each agent can participate with at most one principal and meaningfully communicate only with him. Economic models of exclusive competition restrict...

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...