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experiment were offered the opportunity to contribute to climate protection by purchasing European Union Allowances. Allowances … purchased were withdrawn from the European Emissions Trading Scheme. In our experiment, information about other subjects …
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This paper explores potential endowment effects of contractual default rules. For this purpose, we analyze the Hadley liability default clause in a model of bilateral bargaining of lotteries against safe options. The liability default clause determines the right for the safe payoff option. We...
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