renegotiation. If the buyer expects renegotiation always to take place, the parties are always able to implement the materially … efficient good ex post. It can be optimal for the buyer, however, to expect that renegotiation does not take place. In this case …

We propose a theory of ex post inefficient renegotiation that is based on loss aversion. When two parties write a long …

renegotiation. If the buyer expects renegotiation always to take place, the parties are always able to implement the materially … efficient good ex post. It can be optimal for the buyer, however, to expect that renegotiation does not take place. In this case …

unobservable and incomplete contracts with and without renegotiation opportunities under the assumption that the principal cannot … outcomes to a subset of Nash equilibrium outcomes and renegotiation imposes further constraints. Yet, there is a large class of …

analyze the equilibrium outcomes of twostage games with renegotiation-proof third-party contracts in relation to the … outcomes of the game without contracts. Introducing renegotiation, in general, imposes further constraints and in some games …

incomplete and shaped by ex-post renegotiation. The financing of innovative firms must balance two goals. On the one hand, since … renegotiation, embeds a "put option" into the firm's capital structure. The put is exercised when liquidation is efficient, and it …

We propose a theory of ex post inefficient renegotiation that is based on loss aversion. When two parties write a long …

We propose a theory of ex post inefficient renegotiation that is based on loss aversion. When two parties write a long …

(2015), even though loss aversion makes renegotiation sometimes inefficient. During renegotiation, the outcome induced by … "bad" states. This alters the threat point in renegotiation, making it easier to renegotiate and thus improves the …

specify default, renegotiation and reorganization policies. Renegotiation entails a redistribution of social surplus, while … reorganization takes the form of enhanced creditor monitoring. Firms with better contract histories are less likely to default, but …, contingent on default, firms with better outside options successfully renegotiate, in line with the empirical evidence. Unless …