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Evidence Disclosure and Verifiability Author info | Abstract | Publisher info | Download info | Related research | Statistics Jesse Bull
Joel Watson
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We explore the conceptual basis of "verifiability" by explicitly modeling the process of evidence production in contractual relationships of complete information. Evidence is represented by documents, on the submission of which an enforcement authority conditions transfers between the contracting parties. Our analysis includes the opportunity for parties to engage in side-dealing and renegotiation during the enforcement phase. The central contracting problem involves determining whether a contract can be designed to induce given transfers as a function of the outcome of productive interaction. We study how this objective is constrained by the need to motivate parties to disclose documents during the enforcement phase. We prove the Full Disclosure Principle, justifying constraining attention to equilibria in which all documents are disclosed in every contingency. We also obtain insights on the implications of "positive" and "negative" evidence and we briefly discuss the relevance of our results to the design of legal institutions.
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Paper provided by Department of Economics, UC San Diego in its series University of California at San Diego, Economics Working Paper Series with number
2000-16.
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Date of creation: Jun 2000Date of revision:
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References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.: Eric Maskin & John Moore, 1999.
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Bernardo, Antonio E & Talley, Eric & Welch, Ivo, 2000.
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"Hard Evidence and Mechanism Design ,"
University of California at San Diego, Economics Working Paper Series
2002-16, Department of Economics, UC San Diego.
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Other versions:
Joel Watson & Jesse Bull, 2006.
"Hard Evidence and Mechanism Design ,"
University of California at San Diego, Economics Working Paper Series
2002-16R, Department of Economics, UC San Diego.
[Downloadable!] Joel Watson & Jesse Bull, 2004.
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Econometric Society 2004 North American Winter Meetings
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[Downloadable!] Bull, Jesse & Watson, Joel, 2007.
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[Downloadable!] (restricted) Paul Milgrom & John Roberts, 1986.
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"Partially Verifiable Information and Mechanism Design ,"
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Legros, Patrick & Matthews, Steven A, 1993.
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Daniel L. Rubinfeld & David E.M. Sappington, 1987.
"Efficient Awards and Standards of Proof in Judicial Proceedings ,"
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Full
references Cited by : (explanations , Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile , click on "citations" and make appropriate adjustments.)
Robson, Alexander R. W. & Skaperdas, Stergios, 2002.
"Costly Enforcement of Property Rights and the Coase Theorem ,"
CESifo Working Paper Series
CESifo Working Paper No. , CESifo GmbH.
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Other versions:
Alex Robson & Stergios Skaperdas, 2005.
"Costly Enforcement of Property Rights and the Coase Theorem ,"
ANUCBE School of Economics Working Papers
2005-455, Australian National University, College of Business and Economics, School of Economics.
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Economic Theory ,
Springer, vol. 36(1), pages 109-128, July.
[Downloadable!] (restricted) Joel Watson, 2006.
"Contract and Mechanism Design in Settings with Multi-Period Trade ,"
University of California at San Diego, Economics Working Paper Series
2006-02, Department of Economics, UC San Diego.
[Downloadable!]
Jesse Bull, 2006.
"Costly Evidence Production and the Limits of Verifiability ,"
Working Papers
0611, Florida International University, Department of Economics.
[Downloadable!]
repec:att:wimass:1920123 is not listed on IDEAS
Joel Watson, 2006.
"Contract and Game Theory: Basic Concepts for Settings with Finite Horizons ,"
University of California at San Diego, Economics Working Paper Series
2006-01, Department of Economics, UC San Diego.
[Downloadable!]
Dominique Demougin & Claude Fluet, 2007.
"Rules of Proof, Courts, and Incentives ,"
CESifo Working Paper Series
CESifo Working Paper No. , CESifo GmbH.
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Other versions: Juan-Jose Ganuza & Fernando Gomez, 2007.
"Caution, Children Crossing: Heterogeneity of Victim's Cost of Care and the Negligence Rule ,"
Review of Law & Economics ,
Berkeley Electronic Press, vol. 1(3), pages 3.
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Evans, R., 2006.
"Mechanism Design with Renegotiation and Costly Messages ,"
Cambridge Working Papers in Economics
0626, Faculty of Economics, University of Cambridge.
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LAFFONT, Jean-Jacques, 2003.
"Incentives and the Search for Unknown Resources such as Water ,"
IDEI Working Papers
169, Institut d'Économie Industrielle (IDEI), Toulouse.
[Downloadable!]
Jim Brennan & Joel Watson, 2002.
"The Renegotiation-Proofness Principle and Costly Renegotiation ,"
University of California at San Diego, Economics Working Paper Series
2002-10, Department of Economics, UC San Diego.
[Downloadable!]
Jesse Bull, 2006.
"Costly Evidence and Systems of Fact Finding ,"
Working Papers
0612, Florida International University, Department of Economics.
[Downloadable!]
Joel Watson & Jesse Bull, 2006.
"Hard Evidence and Mechanism Design ,"
University of California at San Diego, Economics Working Paper Series
2002-16R, Department of Economics, UC San Diego.
[Downloadable!]
Other versions:
Jesse Bull & Joel Watson, 2002.
"Hard Evidence and Mechanism Design ,"
University of California at San Diego, Economics Working Paper Series
2002-16, Department of Economics, UC San Diego.
[Downloadable!] Joel Watson & Jesse Bull, 2004.
"Hard Evidence and Mechanism Design ,"
Econometric Society 2004 North American Winter Meetings
433, Econometric Society.
[Downloadable!] Bull, Jesse & Watson, Joel, 2007.
"Hard evidence and mechanism design ,"
Games and Economic Behavior ,
Elsevier, vol. 58(1), pages 75-93, January.
[Downloadable!] (restricted) Antoine Faure-Grimaud & Jean-Jacques Laffont & David Martimort, 2003.
"Risk Averse Supervisors and the Efficiency of Collusion ,"
Contributions to Theoretical Economics ,
Berkeley Electronic Press, vol. 2(1), pages 1055-1055.
[Downloadable!] (restricted)
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