results also highlight the importance of behavioral biases for infrequent, binding decisions such as contract take-up …

that hardly explains the many features of an insurance contract. We extend this setup to include the situation that the … costlessly observable, then it should be included in the contract to improve the risk sharing-incentive trade-off under moral … resulting incompleteness of the contract opens the door to controversies and disputes that may lead to judicial procedures. We …

Neither marriage nor a legally enforceable contract serves any useful purpose if the parties have access to a perfect … enforceable contract. Separate-property marriage may reduce and community-property marriage actually eliminate inefficiency, but …

nature of investment, writing a simple fixed-price contract can be valuable under repeated transactions: There is a range of … parameter values in which a higher investment can be implemented only if a formal price contract is written and combined with a … relational contract. We also show that there are cases in which not writing a formal contract but entirely relying on a …

simple voting experiment, we show that many voters are willing to engage in voting as a form of punishment, even when voting …Altruistic punishment is a fundamental driver for cooperation in human interactions. In this paper, we expand our … understanding of this form of costly punishment to help explain a puzzle of voting behavior: why do people who are indifferent …

We study how punishment influences conditional cooperation. We ask two questions: 1) how does conditional cooperation … cooperation with punishment which leads to a decrease in conditional cooperation. The power to punish means more responsibility …