We consider a buyer sourcing from multiple competing suppliers who exert cost reduction efforts before procurement contracts are awarded. The supply chain is subject to the classic hold-up problem--as the lack of a contract commitment hinders suppliers' incentives to make investment...

Financial accounting affords considerable discretion to firms in aggregating internal information for external dissemination, yet little evidence exists about the consequences of such aggregation. We examine a central operational effect by studying whether withholding disaggregated cost...