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This paper characterizes the equilibrium outcomes of two-stage games in which the second mover has private information and can sign renegotiable contracts with a neutral third-party. Our aim is to understand whether renegotiation-proof third-party contracts can confer a strategic advantage on...
Persistent link: https://www.econbiz.de/10010500203
technologies display learning effects and agents' rate of learning is private knowledge. In a simple two-period model with full … commitment available to the principal, we show that whether learning effects are over- or under-exploited crucially depends on … whether learning effects increase or decrease the principal's uncertainty about agents' costs of production. Hence, what …
Persistent link: https://www.econbiz.de/10010315554
explore the effectiveness of two policies intended to facilitate such integration, using a laboratory experiment that models …
Persistent link: https://www.econbiz.de/10011282460
, using a laboratory experiment, the effectiveness of two regularly-employed entry restrictions: entry quotas and entry exams …
Persistent link: https://www.econbiz.de/10010316829
We present a field study of social learning. The setting is a pair of adjacent fast food restaurants serving very … is found, consistent with the social learning hypothesis, that relative queue length has a significant effect at the …
Persistent link: https://www.econbiz.de/10010335965
subjects' beliefs, in the form of their eye-movements during the experiment. Our estimated choice probabilities and learning …How do people learn? We assess, in a distribution-free manner, subjects' learning and choice rules in dynamic two …-armed bandit (probabilistic reversal learning) experiments. To aid in identification and estimation, we use auxiliary measures of …
Persistent link: https://www.econbiz.de/10010277527
Decision makers lacking crucial specialist know-how often consult with better informed but biased experts. In our model the decision maker's choice problem is binary and her preferred option depends on the state of the world unknown to her. The expert observes the state and sends a report to the...
Persistent link: https://www.econbiz.de/10011430094
We introduce intention-based social preferences into a Bayesian mechanism design framework. We first show that, under common knowledge of social preferences, any tension between material efficiency, incentive compatibility, and voluntary participation can be resolved. Hence, famous impossibility...
Persistent link: https://www.econbiz.de/10010316927
We study public goods game where the contribution efforts are observable. When the players are observed, they contribute more and free-riding diminishes significantly. On the other hand, presence of an audience does not affect the performance of players if there is no strategic aspect of the...
Persistent link: https://www.econbiz.de/10010273652
-play messages. In a laboratory experiment, we modify communication by making the sending of messages optional and costly. Even small … level, and is not significantly affected by learning. …
Persistent link: https://www.econbiz.de/10011282459