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bargaining in Germany. Based on a simple bargaining model we derive our main hypothesis: In establishments covered by collective … bargaining agreements works councils are more likely to be engaged in productivity enhancing activities and less engaged in rent …
Persistent link: https://www.econbiz.de/10011402748
We explore the efficiency and distributive implications (theoretically and experimentally) of a multilateral bargaining … model with endogenous production of the surplus under two different timings: ex ante and ex post bargaining. Both timings … economic tenet: in ex post bargaining, effort is considered sunk and opportunistic bargaining behavior will dissuade players …
Persistent link: https://www.econbiz.de/10012936225
We consider a wide number of applications of an intrafirm bargaining game within organizations where employees and the …
Persistent link: https://www.econbiz.de/10014148529
model with non-contractible investment ex ante but frictionless bargaining over the externality ex post. In this framework …, a party may distort its investment to worsen the other's threat point in bargaining. We demonstrate that the presence of …
Persistent link: https://www.econbiz.de/10014062229
We examine how a principal implements a joint forcing contract for a team of two agents, whose joint product determines the value of the principal's asset. We focus on the "agents' problem": whether to contribute to a public good when one's costly contribution is unobservable. Our experiments...
Persistent link: https://www.econbiz.de/10014027665
The canonical principal-agent problem involves a risk-neutral principal who must use incentives to motivate a risk-averse agent to take a costly, unobservable action that improves the principal's payoff. The standard solution requires an inefficient shifting of risk to the agent. This paper,...
Persistent link: https://www.econbiz.de/10014027929
Persistent link: https://www.econbiz.de/10011312128
We provide an explanation for peer pressure in teams based on inequity aversion. Analyzing a two-period model with two agents, we find that the effect of inequity aversion strongly depends on the information structure. When contributions are unobservable, agents act as if they were purely...
Persistent link: https://www.econbiz.de/10003652683
For quite a long time, network industries used to be regarded as (natural) monopolies. This was due to these industries having some special characteristics. Network externalities and economies of scale in particular justified the (natural) monopoly thesis. Recently, however, a trend towards...
Persistent link: https://www.econbiz.de/10003285766
Due to incomplete contracts, efficiency of an organization depends on willingness of individuals to take non-selfish actions, such as cooperating when there is no incentive to do so or punishing inefficient actions by others. Organizations also constitute a social boundary, or group. We...
Persistent link: https://www.econbiz.de/10003347252