We study contracting and costly renegotiation in settings of complete, but unverifiable information, using the … mechanism-design approach. We show how renegotiation activity is best modeled in the fundamentals of the mechanism …-design framework, so that noncontractibility of renegotiation amounts to a constraint on the problem. We formalize and clarify the …

relational contracts are repeatedly newly negotiated during relationships. Negotiations take place with positive probability and …

price, and then to the retail price. The type of vertical agreement firms contract upon as well as their relative bargaining …