Bargaining under Incomplete Information, Fairness, and the Hold-Up Problem
Author
Abstract
Suggested Citation
Download full text from publisher
References listed on IDEAS
- Ernst Fehr & Klaus M. Schmidt, 1999.
"A Theory of Fairness, Competition, and Cooperation,"
The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(3), pages 817-868.
- Fehr, Ernst & Schmidt, Klaus M., . "A theory of fairness, competition, and cooperation," Chapters in Economics,, University of Munich, Department of Economics.
- Ernst Fehr & Klaus M. Schmidt, "undated". "A Theory of Fairness, Competition and Cooperation," IEW - Working Papers 004, Institute for Empirical Research in Economics - University of Zurich.
- Fehr, Ernst & Schmidt, Klaus M., 1999. "A theory of fairness, competition, and cooperation," Munich Reprints in Economics 20650, University of Munich, Department of Economics.
- Fehr, Ernst & Schmidt, Klaus M., 1998. "A Theory of Fairness, Competition and Cooperation," CEPR Discussion Papers 1812, C.E.P.R. Discussion Papers.
- Gul, Faruk, 2001.
"Unobservable Investment and the Hold-Up Problem,"
Econometrica, Econometric Society, vol. 69(2), pages 343-376, March.
- F. Gul, 2000. "Unobservable Investment and the Hold-Up Problem," Princeton Economic Theory Papers 00s10, Economics Department, Princeton University.
- Gary E Bolton & Axel Ockenfels, 1997. "A Theory of Equity, Reciprocity, and Competition," Levine's Working Paper Archive 1889, David K. Levine.
- Grossman, Sanford J & Hart, Oliver D, 1986.
"The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration,"
Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 691-719, August.
- Oliver Hart & Sanford Grossman, 1985. "The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration," Working papers 372, Massachusetts Institute of Technology (MIT), Department of Economics.
- Grossman, Sanford J. & Hart, Oliver D., 1986. "The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration," Scholarly Articles 3450060, Harvard University Department of Economics.
- Grossman, Sanford J & Hart, Oliver, 1985. "The Cost and Benefits of Ownership: A Theory of Vertical and Lateral Integration," CEPR Discussion Papers 70, C.E.P.R. Discussion Papers.
- Lorne Carmichael & W. Bentley MacLeod, 2003. "Caring About Sunk Costs: A Behavioral Solution to Holdup Problems with Small Stakes," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 19(1), pages 106-118, April.
- Ellingsen, Tore & Robles, Jack, 2002.
"Does Evolution Solve the Hold-Up Problem?,"
Games and Economic Behavior, Elsevier, vol. 39(1), pages 28-53, April.
- Tore Ellingsen & Jack Robles, 2000. "Does Evolution Solve the Hold-up Problem," Econometric Society World Congress 2000 Contributed Papers 1525, Econometric Society.
- Ellingsen, Tore & Robles, Jack, 2000. "Does Evolution Solve the Hold-up Problem?," SSE/EFI Working Paper Series in Economics and Finance 358, Stockholm School of Economics.
- Crawford, Vincent P, 1982. "A Theory of Disagreement in Bargaining," Econometrica, Econometric Society, vol. 50(3), pages 607-637, May.
- Troger, Thomas, 2002. "Why Sunk Costs Matter for Bargaining Outcomes: An Evolutionary Approach," Journal of Economic Theory, Elsevier, vol. 102(2), pages 375-402, February.
- Bengt Holmstrom, 1982.
"Moral Hazard in Teams,"
Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 324-340, Autumn.
- Bengt Holmstrom, 1981. "Moral Hazard in Teams," Discussion Papers 471, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Christian Ewerhart, 2006.
"The Effect of Sunk Costs on the Outcome of Alternating-Offers Bargaining Between Inequity-Averse Agents,"
Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 58(2), pages 184-203, April.
- Christian Ewerhart, "undated". "The Effect of Sunk Costs on the Outcome of Alternating-Offers Bargaining between Inequity-Averse Agents," IEW - Working Papers 203, Institute for Empirical Research in Economics - University of Zurich.
- Tore Ellingsen & Magnus Johannesson, 2004.
"Is There a Hold‐up Problem?,"
Scandinavian Journal of Economics, Wiley Blackwell, vol. 106(3), pages 475-494, October.
- Ellingsen, Tore & Johannesson, Magnus, 2000. "Is There a Hold-up Problem?," SSE/EFI Working Paper Series in Economics and Finance 357, Stockholm School of Economics.
- Rabin, Matthew, 1993.
"Incorporating Fairness into Game Theory and Economics,"
American Economic Review, American Economic Association, vol. 83(5), pages 1281-1302, December.
- Matthew Rabin., 1992. "Incorporating Fairness into Game Theory and Economics," Economics Working Papers 92-199, University of California at Berkeley.
- M. Rabin, 2001. "Incorporating Fairness into Game Theory and Economics," Levine's Working Paper Archive 511, David K. Levine.
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
Cited by:
- Shuntian Yao & Euston Quah, 2013. "Economics behind the law: why number of divorce cases grows when families become wealthier?," European Journal of Law and Economics, Springer, vol. 35(1), pages 137-143, February.
- Sloof, Randolph, 2008. "Price-setting power vs. private information: An experimental evaluation of their impact on holdup," European Economic Review, Elsevier, vol. 52(3), pages 469-486, April.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Siemens, Ferdinand von, 2005. "Bargaining under Incomplete Information, Fairness, and the Hold-Up Problem," Discussion Papers in Economics 518, University of Munich, Department of Economics.
- Christian Ewerhart, 2006.
"The Effect of Sunk Costs on the Outcome of Alternating-Offers Bargaining Between Inequity-Averse Agents,"
Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 58(2), pages 184-203, April.
- Christian Ewerhart, "undated". "The Effect of Sunk Costs on the Outcome of Alternating-Offers Bargaining between Inequity-Averse Agents," IEW - Working Papers 203, Institute for Empirical Research in Economics - University of Zurich.
- von Siemens, Ferdinand A., 2009.
"Bargaining under incomplete information, fairness, and the hold-up problem,"
Journal of Economic Behavior & Organization, Elsevier, vol. 71(2), pages 486-494, August.
- Ferdinand A. von Siemens, 2009. "Bargaining under Incomplete Information, Fairness, and the Hold-Up Problem¤," Post-Print hal-00674101, HAL.
- Ernst Fehr & Susanne Kremhelmer & Klaus M. Schmidt, 2008.
"Fairness and the Optimal Allocation of Ownership Rights,"
Economic Journal, Royal Economic Society, vol. 118(531), pages 1262-1284, August.
- Ernst Fehr & Susanne Kremhelmer & Klaus M. Schmidt, 2008. "Fairness and the Optimal Allocation of Ownership Rights," Economic Journal, Royal Economic Society, vol. 118(531), pages 1262-1284, August.
- Ernst Fehr & Susanne Kremhelmer & Klaus M. Schmidt, "undated". "Fairness and the Optimal Allocation of Ownership Rights," IEW - Working Papers 224, Institute for Empirical Research in Economics - University of Zurich.
- Schmidt, Klaus & Fehr, Ernst & Kremhelmer, Susanne, 2005. "Fairness and the Optimal Allocation of Ownership Rights," CEPR Discussion Papers 5369, C.E.P.R. Discussion Papers.
- Fehr, Ernst & Kremhelmer, Susanne & Schmidt, Klaus M., 2004. "Fairness and the Optimal Allocation of Ownership Rights," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 11, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
- Fehr, Ernst & Kremhelmer, Susanne & Schmidt, Klaus M., 2005. "Fairness and the Optimal Allocation of Ownership Rights," Discussion Papers in Economics 727, University of Munich, Department of Economics.
- Fehr, Ernst & Kremhelmer, Susanne & Schmidt, Klaus M., 2008. "Fairness and the optimal allocation of ownership rights," Munich Reprints in Economics 20626, University of Munich, Department of Economics.
- Ernst Fehr & Susanne Kremhelmer & Klaus Schmidt, 2005. "Fairness and the Optimal Allocation of Ownership Rights," CESifo Working Paper Series 1467, CESifo.
- Hoppe, Eva I. & Schmitz, Patrick W., 2011.
"Can contracts solve the hold-up problem? Experimental evidence,"
Games and Economic Behavior, Elsevier, vol. 73(1), pages 186-199, September.
- Schmitz, Patrick W. & Hoppe-Fischer, Eva, 2009. "Can Contracts Solve the Hold-Up Problem? Experimental Evidence," CEPR Discussion Papers 7205, C.E.P.R. Discussion Papers.
- Allen Kaufman & Ernie Englander, 2011. "Behavioral Economics, Federalism, and the Triumph of Stakeholder Theory," Journal of Business Ethics, Springer, vol. 102(3), pages 421-438, September.
- Tore Ellingsen & Magnus Johannesson, 2004.
"Is There a Hold‐up Problem?,"
Scandinavian Journal of Economics, Wiley Blackwell, vol. 106(3), pages 475-494, October.
- Ellingsen, Tore & Johannesson, Magnus, 2000. "Is There a Hold-up Problem?," SSE/EFI Working Paper Series in Economics and Finance 357, Stockholm School of Economics.
- Ernst Fehr & Alexander Klein & Klaus M Schmidt, 2007.
"Fairness and Contract Design,"
Econometrica, Econometric Society, vol. 75(1), pages 121-154, January.
- Fehr, Ernst & Klein, Alexander & Schmidt, Klaus M., 2005. "Fairness and Contract Design," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 67, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
- Fehr, Ernst & Klein, Alexander & Schmidt, Klaus M., 2007. "Fairness and contract design," Munich Reprints in Economics 20618, University of Munich, Department of Economics.
- Troger, Thomas, 2002. "Double Auctions, Ex-Post Participation Constraints, and the Hold-Up Problem," University of California at Santa Barbara, Economics Working Paper Series qt3f2509gz, Department of Economics, UC Santa Barbara.
- Bardhan, Pranab & Bowles, Samuel & Gintis, Herbert, 2000.
"Wealth inequality, wealth constraints and economic performance,"
Handbook of Income Distribution, in: A.B. Atkinson & F. Bourguignon (ed.), Handbook of Income Distribution, edition 1, volume 1, chapter 10, pages 541-603,
Elsevier.
- Bardhan, Pranab & Bowles, Samuel & Gintis, Herbert, 1998. "Wealth Inequality, Wealth Constraints and Economic Performance," Center for International and Development Economics Research (CIDER) Working Papers 233617, University of California-Berkeley, Department of Economics.
- Bardhan, Pranab & Bowles, Samuel & Gintis, Herbert, 1999. "Wealth Inequality, Wealth Constraints and Economic Performance," Department of Economics, Working Paper Series qt3bh899fh, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
- Bardhan, Pranab & Bowles, Samuel & Gintis, Herbert, 1999. "Wealth Inequality, Wealth Constraints and Economic Performance," Center for International and Development Economics Research, Working Paper Series qt3bh899fh, Center for International and Development Economics Research, Institute for Business and Economic Research, UC Berkeley.
- Pranab Bardhan, Samuel Bowles and Herbert Gintis., 1998. "Wealth Inequality, Wealth Constraints and Economic Performance," Center for International and Development Economics Research (CIDER) Working Papers C98-097, University of California at Berkeley.
- Pranab Bardhan & Samuel Bowles & Herbert Gintis, 1998. "Wealth Inequality, Wealth Constraints and Economic Performance," Microeconomics 9805002, University Library of Munich, Germany.
- Oliver Hart & John Moore, 2008.
"Contracts as Reference Points,"
The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 123(1), pages 1-48.
- Oliver Hart & John Moore, 2006. "Contracts as Reference Points," Edinburgh School of Economics Discussion Paper Series 170, Edinburgh School of Economics, University of Edinburgh.
- Oliver Hart & John Moore, 2006. "Contracts as Reference Points," NBER Working Papers 12706, National Bureau of Economic Research, Inc.
- Ernst Fehr & Alexander Klein & Klaus M. Schmidt, "undated".
"Fairness, Incentives and Contractual Incompleteness,"
IEW - Working Papers
072, Institute for Empirical Research in Economics - University of Zurich.
- Schmidt, Klaus & Fehr, Ernst & Klein, Alexander, 2001. "Fairness, Incentives and Contractual Incompleteness," CEPR Discussion Papers 2790, C.E.P.R. Discussion Papers.
- Ernst Fehr & Alexander Klein & Klaus Schmidt, 2001. "Fairness, Incentives and Contractual Incompleteness," CESifo Working Paper Series 445, CESifo.
- Fehr, Ernst & Klein, Alexander & Schmidt, Klaus M., 2001. "Fairness, Incentives and Contractual Incompleteness," Discussion Papers in Economics 18, University of Munich, Department of Economics.
- Raghabendra Pratap KC & Dominique Olié Lauga & Vincent Mak, 2023. "Hold-up induced by demand for fairness: theory and experimental evidence," Theory and Decision, Springer, vol. 94(4), pages 721-750, May.
- Dawid, Herbert & MacLeod, W. Bentley, 2008. "Hold-up and the evolution of investment and bargaining norms," Games and Economic Behavior, Elsevier, vol. 62(1), pages 26-52, January.
- Ernst Fehr & Urs Fischbacher, "undated". "Why Social Preferences Matter - The Impact of Non-Selfish Motives on Competition," IEW - Working Papers 084, Institute for Empirical Research in Economics - University of Zurich.
- Troger, Thomas, 2002. "Double Auctions, Ex-Post Participation Constraints, and the Hold-Up Problem," University of California at Santa Barbara, Economics Working Paper Series qt5qv060md, Department of Economics, UC Santa Barbara.
- Lisa Bruttel & Gerald Eisenkopf, 2009. "Incentive Compatible Contracts?," TWI Research Paper Series 43, Thurgauer Wirtschaftsinstitut, Universität Konstanz.
- Kranz, Sebastian, 2013.
"Relational Contracting, Repeated Negotiations, and Hold-Up,"
VfS Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order
80047, Verein für Socialpolitik / German Economic Association.
- Sebastian Kranz, 2013. "Relational Contracting, Repeated Negotiations, and Hold-Up," Levine's Working Paper Archive 786969000000000676, David K. Levine.
- Sebastian Kranz, 2013. "Relational Contracting, Repeated Negotiations, and Hold-Up," Cowles Foundation Discussion Papers 1888, Cowles Foundation for Research in Economics, Yale University.
- Armin Falk & Ernst Fehr & Urs Fischbacher, 2003.
"On the Nature of Fair Behavior,"
Economic Inquiry, Western Economic Association International, vol. 41(1), pages 20-26, January.
- Armin Falk & Ernst Fehr & Urs Fischbacher, "undated". "On the Nature of Fair Behavior," IEW - Working Papers 017, Institute for Empirical Research in Economics - University of Zurich.
- Fehr, Ernst & Falk, Armin & Fischbacher, Urs, 2001. "On the Nature of Fair Behaviour," CEPR Discussion Papers 2984, C.E.P.R. Discussion Papers.
- Ben-Ner, Avner & Putterman, Louis & Kong, Fanmin & Magan, Dan, 2004.
"Reciprocity in a two-part dictator game,"
Journal of Economic Behavior & Organization, Elsevier, vol. 53(3), pages 333-352, March.
- Avner Ben-Ner & Famin Kong & Louis Putterman & Dan Magan, "undated". "Reciprocity in a Two-Part Dictator Game," Working Papers 0902, Human Resources and Labor Studies, University of Minnesota (Twin Cities Campus).
- Avner Ben-Ner & Louis Putterman, 1999. "Reciprocity in a Two Part Dictator Game," Working Papers 99-28, Brown University, Department of Economics.
More about this item
Keywords
Incomplete Contracts; Hold-Up; Fairness; Bargaining under Incomplete Information; Signalling;All these keywords.
JEL classification:
- C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
- D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
- D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
- J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
- K12 - Law and Economics - - Basic Areas of Law - - - Contract Law
- L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
NEP fields
This paper has been announced in the following NEP Reports:- NEP-LAW-2005-10-29 (Law and Economics)
- NEP-MIC-2005-10-29 (Microeconomics)
Statistics
Access and download statisticsCorrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:trf:wpaper:57. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tamilla Benkelberg (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.