Bargaining Through Agents: An Experimental Study of Delegation and Commitment |
| |
Authors: | Andrew Schotter Wei Zheng Blaine Snyder |
| |
Institution: | Department of Economics, New York University, 269 Mercer Street, New York, New York, 10003, f1;William M. Mercer Companies LLC. 1166 Avenue of the Americas, New York, New York, 10036, , f2;c Department of Economics, New York University, 269 Mercer Street, New York, New York, 10003 |
| |
Abstract: | While face-to-face bargaining has proven itself to be extremely efficient in the laboratory, it appears to break down often in the real world. This discrepancy, we assert, is explained by the fact that in the real world face-to-face bargaining is usually conducted not between principals but between the agents of principals. We find a substantial increase in inefficiency when bargaining is conducted through agents rather than through principals and offer an explanation for this rise in inefficiency. As such, this paper helps to shed light on the growing literature on delegation, commitment, and preference distortion games. Journal of Economic Literature Classification Numbers: C78, C92. |
| |
Keywords: | |
本文献已被 ScienceDirect 等数据库收录! |
|