We conduct 3-person bargaining experiments in which the surplus being divided is produced by completing a prior task. Using a Baron-Ferejohn framework, we investigate how differences in contributions to production affect bargaining under different decision rules. Under unanimity rule, all...

"A successful business deal maximizes value for buyers and sellers alike. Drawing on diverse case studies and decades of experience, Michael Klausner and Guhan Subramanian show how contracting parties can reach that goal through rigorous attention to incentives, information asymmetries, exit...

A new paradigm for commercial relationships -- Behavioral economics in deal-making -- The trust factor : the keystone of negoeconomics -- Rules of the game : defining and setting expectations -- Preparation and analysis prior to bargaining : the first 5 phases of the negotiation process --...

Negotiations frequently end in conflict after one party rejects a final offer. In a large-scale internet experiment, we investigate whether a 24-hour cooling-off period leads to fewer rejections in ultimatum bargaining. We conduct a standard cash treatment and a lottery treatment, where subjects...