The food industry has been seen as one of the most successful sectors in Bulgaria with potential to growth. At the same time agriculture and food industry have had large negative effect on the environment. For reduction of the potential harmful environmental impact caused by agricultural and...

An identification and analysis of practices for providing consumer information in Bulgaria and their potential to disclose information about products to consumers are presented. Third party certification, labelling and comparative testing of products has been proven to effectively contribute for...

The paper discusses the possibilities for establishing a system for independent comparative tests of products on a national level with the participation of stakeholders in the provision of consumer information. The method of “in-depth interview” was used for the purposes of the survey....

Several recent papers argue that contracts provide reference points that affect ex post behavior. We test this hypothesis in a canonical buyer-seller relationship with renegotiation. Our paper provides causal experimental evidence that an initial contract has a highly significant and...

We present an international trade model with multiproduct firms. Firms are heterogeneously endowed with two types of capabilities that jointly determine the trade-off within firms between managing a large portfolio of products and producing at low marginal cost. The model can explain many of the...

This paper reports data from a laboratory experiment on two-period moral hazard problems. The findings corroborate the contract-theoretic insight that even though the periods are technologically unrelated, due to incentive considerations principals can benefit from offering long-term contracts...

We study a continuous-time game of strategic experimentation in which the players try to assess the failure rate of some new equipment or technology. Breakdowns occur at the jump times of a Poisson process whose unknown intensity is either high or low. In marked contrast to existing models, we...

We study endogenous group formation in tournaments employing experimental three-player contests. We find that players in endogenously formed alliances cope better with the moral hazard problem in groups than players who are forced into an alliance. Also, players who are committed to expending...