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fixed costs, but the lack of enforceable cross-country contracts reduces variable revenue. Producers select into different … intermediation ; heterogeneous firms ; incomplete contracts …
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Most contracts that individuals enter into are not written from scratch; rather, they depend upon forms and terms that … have been successful in the past. In this paper, we study the structure of form construction contracts published by the … American Institute of Architects (AIA). We show that these contracts are an efficient solution to the problem of procuring …
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We show that parties in bilateral trade can rely on the default common law breach remedy of 'expectation damages' to induce simultaneously first-best relationship-specific investments of both the selfish and the cooperative kind. This can be achieved by writing a contract that specifies a...
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this remedial regime allows parties to write simple contracts that induce first-best cooperative investments. …
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