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 …

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 …

-invest in early construction, seeking a renegotiation thereafter. We show that, in a renegotiation-proof contract, the marginal …

Trust between parties should drive the negotiation and design of contract: if parties did not trust each others … over time, we find that lower trust increases contract completeness. Not only contract complexity but also the verifiable …

This paper explores how a relational contract establishes a norm of reciprocity and how such a norm shapes the …

each period. In contrast to previous findings, we demonstrate that writing a simple fixed-price contract based on product … values in which a higher investment can be implemented only if a formal fixed-price contract is written and combined with an … contract ; relational contract ; cooperative investment ; fixed-price contract ; relation-specific investment ; repeated …