Bilateral Trade and Opportunism in a Matching Market

B.E. Journal of Theoretical Economics

Volumn 1, Issue 1, 2001, Pages

  Ramey, Garey ^a   Watson, Joel ^a  

^a UNIVERSITY OF CALIFORNIA   (United States)

Author keywords

contracting; matching friction; self enforcement; specific investment

Indexed keywords

EID: 34547889756     PISSN: None     EISSN: 19351704     Source Type: Journal    
DOI: 10.2202/1534-5971.1030     Document Type: Article

References (32)

1. Binmore, K., A, Rubinstein and A. Wolinsky (1986), "The Nash Bargaining Solution in Economic Modelling." RAND Journal of Economics 17: 176-88.
2. Bolton, P., and M. Whinston (1993), "Incomplete Contracts, Vertical Integration, and Supply Constraints, " Review of Economic Studies 60:121-48.
3. Bulow, J., J. Geanakoplos and P. Klemperer (1987), "Multiproduct Oligopoly: Strategic Substitutes and Complements, " Journal of Political Economy 95: 488-511.
4. Camerer, C. (1988), "Gifts as Economic Signals and Social Symbols, " American Journal of Sociology 94: S180-S214.
5. Carmichael, L. and W. B. MacLeod (1997), "Gift Giving and the Evolution of Cooperation, " International Economic Review 38: 485-509.
6. Coase, R. (1937), "The Nature of the Firm, " Economica 4: 386-405.
7. Datta, S. (1996), "Building Trust, " London School of Economics and Political Science Discussion Paper TE/96/305.
8. den Haan, W., G. Ramey, and J. Watson (1999a), "Contract-Theoretic Approaches to Wages and Displacement, " Federal Reserve Bank of St. Louis Review 81: 55-68.
9. den Haan, W., G. Ramey, and J. Watson (1999b), "Liquidity Flows and the Fragility of Business Enterprises, " UC San Diego Economics Working Paper 99-07.
10. den Haan, W., G. Ramey, and J. Watson (2000), "Job Destruction and the Experiences of Displaced Workers, " Carnegie-Rochester Conference Series on Public Policy 52: 87-128.
11. Diamond, P. (1990), "Pairwise Credit in Search Equilibrium, " Quarterly Journal of Economics 105: 285-320.
12. Diamond, P. and E. Maskin (1979), "An Equilibrium Analysis of Search and Breach of Contract I: Steady States, " Bell Journal of Economics 10: 282-316.
13. Diamond, P. and E. Maskin (1981), "An Equilibrium Analysis of Search and Breach of Contract II: A Non-Steady State Example, " Journal of Economic Theory 25: 165-95.
14. Ghosh, P. and D. Ray (1996), "Cooperation in Community Interaction without Information Flows, " Review of Economic Studies 63: 491-519.
15. Grossman, S., and O. Hart (1986), "The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration, " Journal of Political Economy 94: 691-719.
16. Halonen, M. (1995), "Reputation and Allocation of Ownership, " Suntory-Toyota Discussion Paper TE/95/289, London School of Economics and Political Science.
17. Hart, O., and J. Moore (1990), "Property Rights and the Nature of the Firm, " Journal of Political Economy 98: 1119-58.
18. Hosios, A. J. (1990), "On the Efficiency of Matching and Related Models of Search and Unemployment, " Review of Economic Studies 57: 279-298.
19. Klein, B., R. Crawford and A. Alchian (1978), "Vertical Integration, Appropriable Rents and the Competitive Contracting Process, " Journal of Law and Economics 21: 297-326.
20. Klein, B. and K. Leffler (1981), "The Role of Market Forces in Assuring Contractual Performance, " Journal of Political Economy 89: 615-41.
21. Kranton, R. (1996a), "Reciprocal Exchange: A Self-Sustaining System, " American Economic Review 86: 830-851.
22. Kranton, R. (1996b), "The Formation of Cooperative Relationships, " Journal of Law, Economics, and Organization 12: 214-223.
23. McMillan, J. and C. Woodruff (1999a), "Interfirm Relationships and Informal Credit in Vietnam, " Quarterly Journal of Economics 114: 1285-1320.
24. McMillan, J. and C. Woodruff (1999b), "Dispute Prevention Without Courts in Vietnam, " Journal of Law, Economics, and Organization 15: 637-658.
25. Milgrom, P., and J. Roberts (1992), Economics, Organization and Management, Englewood Cliffs, N.J.: Prentice Hall.
26. Ramey, G. and J. Watson (1997), "Contractual Fragility, Job Destruction, and Business Cycles, " Quarterly Journal of Economics 873-911.
27. Shapiro, C. and J. E. Stiglitz (1984), "Equilibrium Unemployment as a Worker Disciplining Device, " American Economic Review 74: 433-444.
28. Watson, J. (1995), "Building a Relationship, " UC San Diego Economics Working Paper 95-30.
29. Watson, J. (1999), "Starting Small and Renegotiation, " Journal of Economic Theory 85: 52-90.
30. Watson, J. (2001), "Starting Small and Commitment, " Games and Economic Behavior, in press.
31. Williamson, O. (1979), "Transactions-Cost Economics: The Governance of Contractual Relations, " Journal of Law and Economics 22: 233-61.
32. Williamson, O. (1985), The Economic Institutions of Capitalism, New York: Free Press.