We model two agents who can benefit from a mutual deal or partnership, yet are also searching for outside alternatives. This generic situation is observed in various settings (e.g., the job market for experts) and involves several decisions. The proposer decides not only on the timing, deadline,...

Search models have traditionally been used to describe situations such as the development of new technology, job search, and the search for profitable investment opportunities. We address the problem faced by a firm that must conduct a search and therefore contemplates outsourcing that process....