We study subgame-perfect implementation (SPI) mechanisms that have been proposed as a solution to incomplete … efficiency. Our results highlight the importance of tailoring implementation mechanisms to the underlying behavioral environment … contracting problems. We show that these mechanisms — which are based on off-equilibrium arbitration clauses that impose large …

We study subgame-perfect implementation (SPI) mechanisms that have been proposed as a solution to incomplete … efficiency. Our results highlight the importance of tailoring implementation mechanisms to the underlying behavioral environment. … contracting problems. We show that these mechanisms - which are based on off-equilibrium arbitration clauses that impose large …