Cigno, Alessandro - In: CESifo economic studies : CESifo, a joint initiative of … 60 (2014) 3, pp. 599-612
Neither marriage nor a legally enforceable contract serves any useful purpose if the parties have access to a perfect credit market. In the presence of credit rationing, the parties may not reach an agreement. If they do, the agreement will be inefficient and give one party more utility than the...