Honesty and informal agreements

B-Tier
Journal: Games and Economic Behavior
Year: 2017
Volume: 102
Issue: C
Pages: 269-285

Authors (3)

Dufwenberg, Martin (not in RePEc) Servátka, Maroš (Macquarie University) Vadovič, Radovan (not in RePEc)

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We develop, and experimentally test, models of informal agreements. Agents are assumed to be honest but suffer costs of overcoming temptations. We extend two classical bargaining solutions – split-the-difference and deal-me-out – to this informal agreement setting. For each solution there are two natural ways to do this, leaving us with 2×2 models to explore. In the experiment, a temptations-constrained version of deal-me-out emerges as the clear winner.

Technical Details

RePEc Handle
repec:eee:gamebe:v:102:y:2017:i:c:p:269-285
Journal Field
Theory
Author Count
3
Added to Database
2026-01-25