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The engagement game

Author

Listed:
  • Amy Farmer
  • Andrew W. Horowitz

Abstract

Engagement is a costly social institution for which virtually no economic analysis exists. We explore the information gathering function of engagement in a game with a proposer who offers a long or short engagement, and a respondent, who may reject the proposal at various stages. Whether the proposer is a suitable match is uncertain, but a long engagement yields information with which the respondent can update prior probabilities. We consider pooling, separating and mixed strategy equilibria and relate our findings to the evolving institution of engagement and institutional circumstances that will improve its efficiency in generating successful matches. Copyright Springer-Verlag 2004

Suggested Citation

  • Amy Farmer & Andrew W. Horowitz, 2004. "The engagement game," Journal of Population Economics, Springer;European Society for Population Economics, vol. 17(4), pages 627-644, December.
  • Handle: RePEc:spr:jopoec:v:17:y:2004:i:4:p:627-644
    DOI: 10.1007/s00148-003-0175-9
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    Citations

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    Cited by:

    1. Amy Farmer & Andrew Horowitz, 2015. "Strategic non-marital cohabitation: theory and empirical implications," Journal of Population Economics, Springer;European Society for Population Economics, vol. 28(1), pages 219-237, January.

    More about this item

    Keywords

    D8; J1; R2; Information; household; engagement;
    All these keywords.

    JEL classification:

    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty
    • J1 - Labor and Demographic Economics - - Demographic Economics
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis

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