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This paper tests the hypothesis that a (partial) reason why cartels - collective but costly and non-binding price agreements - lead to higher prices in a Bertrand oligopoly could be because of a selection effect: decision-makers who are willing to form price agreements are more likely to be less...
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paper by Becker, Häger, and Heufer (BHH, 2013), in which we introduce a “notion of distributive justice” by which … experiments by a combination of selfishness and concerns for distributive justice. Most participants conform very well with the … selfishness and concerns for distributive justice. We also provide a rough classification of preferences and notions of …
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In this experiment, we analyze strategic delegation in a Cournot duopoly. Owners can choose among two different contracts which determine their managers' salaries. One contract simply gives managers incentives to maximize firm profits, while the second contract gives an additional sales bonus....
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