search query: @indexterm TRADE / total: 1216
reference: 22 / 1216
| Author: | Fehr, E. Zehnder, C. Hart, O. |
| Title: | Contracts, reference points, and competition -Behavioral effects of the fundamental transformation |
| Journal: | Journal of the European Economic Association
2009 : APR-MAY, VOL. 7:2-3, p. 561-572 |
| Index terms: | contracts trade competition |
| Language: | eng |
| Abstract: | This article examines the role of incomplete ex ante contracts for ex post trade. Previous evidence indicated that a contract provides a reference point for entitlements when the terms are negotiated in a competitive market. It is indicated that this finding no longer holds when the terms are determined in a non-competitive way. The results suggest that the presence of a "fundamental transformation" is important for a contract to become a reference point. Fundamental transformation is the transition from a competitive market to a bilateral relationship. |
SCIMA