outside option, which is modeled as a sequential search process during which he can also choose to return to bargaining at any …This paper studies a two-sided incomplete information bargaining model between a seller and a buyer. The buyer has an … time. Two cases considered: In Regime I, both agents have symmetric information about the search parameters. We find that …

This paper considers a frictional market where buyers and sellers, with unit demand and supply, search for trading … opportunities. The analysis focuses on explicit search frictions, allows for two-sided incomplete information, and puts no … restriction on agent heterogeneity. In this context, a non-trivial, full trade search equilibrium is shown to exist, equilibria …

private information. Agents engage in costly search and meet randomly. The terms of trade are determined through bilateral … bargaining between buyers and sellers. The paper considers a market in steady state. It is shown that as frictions disappear, i ….e., as discounting and the fixed cost of search become small, all equilibria of the market game converge to perfectly …

private information. Agents engage in costly search and meet randomly. The terms of trade are determined through a Bayesian … mechanism proposal game. The paper considers a market in steady state. As discounting and the fixed cost of search become small …

option to buy via search or return to bargaining. Here many buyers choose a bargaining agreement when a search outcome is …This experimental study investigates two bargaining games with twosided incomplete information between a seller and a … predicted. For those who opt out, search outcomes are overall efficient and behavior is relatively close to the optimal search …

We prove existence of steady-state equilibrium in a class of matching models with search frictions. …

In a two-sided search market agents are paired to bargain over a unit surplus. The matching market serves as an … endogenous outside option for a bargaining agent. Behavioral agents are commitment types that demand a constant portion of the …, there is one-sided reputation building in bargaining, and commitment types on the short side determine the terms of trade …

have to search for a suitable counterparty, and once they have met, both parties negotiate the size of the loan and the …

The matching of likes is a frequently observed phenomenon. However, for such assortative matching to arise in a search … model, often implausibly strong conditions are required. This paper shows that, once signals are introduced, a search model … of random search, which creates in effect an almost frictionless environment. Hence the unique separating equilibrium in …