ABC on Deals
We develop, and experimentally test, a behavioral model of deal- making which includes binding contracts and informal agreements as distinct but related special cases. The key assumptions: people are mostly honest; they suffer costs of overcoming temptation to renege; and they tend to split gains down the middle.
|Date of creation:||26 Aug 2012|
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AccessEcon, vol. 29(4), pages 2870-2883.
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