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The paper studies bargaining games involving players with present-biased preferences. The paper shows that the relative … timing of bargaining rewards and bargaining costs will determine whether the players’ present-bias will affect bargaining … outcomes. In cases where players agree to a bargain in period 1 and experience all bargaining payoffs in period 2, the players …
Persistent link: https://www.econbiz.de/10014344270
The paper studies bargaining games involving players with present-biased preferences. The paper shows that the relative … timing of bargaining rewards and bargaining costs will determine whether the players' present-bias will affect bargaining … outcomes. In cases where players agree to a bargain in period 1 and experience all bargaining payoffs in period 2, the players …
Persistent link: https://www.econbiz.de/10014422534
This paper analyzes dynamically inconsistent time preferences in Rubinstein's (1982) seminal model of bargaining. When … exogenous breakdown risk, as well as in settings of intergenerational bargaining with imperfect altruism. The paper's main …
Persistent link: https://www.econbiz.de/10010399277
This paper presents an analysis of general time preferences in the canonical Rubinstein (1982) model of bargaining …
Persistent link: https://www.econbiz.de/10011705183
We study the framing effects of communication in multiparty bargaining. Communication has been shown to be more … truthful and revealing than predicted in equilibrium. Because talk is preference-revealing, it may effectively frame bargaining …
Persistent link: https://www.econbiz.de/10008549316
This paper studies a continuous-time, nite-horizon contracting problem with renegotiationand dynamic inconsistency arising from non-exponential discounting. Theproblem is formulated as a dynamic game played among the agent, the principal andtheir respective future "selves", each with their own...
Persistent link: https://www.econbiz.de/10012848043
The contribution of this paper is twofold. First, a thorough presentation of the state of the art of the New Keynesian Macroeconomic model is provided. A discussion of its empirical caveats follows and some recent extensions of the standard model are evaluated in more detail. Second, a key...
Persistent link: https://www.econbiz.de/10010425874
Hyperbolic discounting with naiveté is widely believed to provide a better explanation than exponential discounting of why people borrow so much and why they wait so long to save for retirement. We reach a different set of conclusions. We show that if financial planning is enriched to include...
Persistent link: https://www.econbiz.de/10010479952
The contribution of this paper is twofold. First, a thorough presentation of the state of the art of the New Keynesian Macroeconomic model is provided. A discussion of its empirical caveats follows and some recent extensions of the standard model are evaluated in more detail. Second, a key...
Persistent link: https://www.econbiz.de/10010420852
Hyperbolic discounting with naiveté is widely believed to provide a better explanation than exponential discounting of why people borrow so much and why they wait so long to save for retirement. We reach a different set of conclusions. We show that if financial planning is enriched to include...
Persistent link: https://www.econbiz.de/10010480816