On the Relation Between Asset Ownership and Specific Investments
Bibliographic Data
| ID | 9715929 |
|---|---|
| Authors | Joep Sonnemans (0000-0001-7545-7409, University of Amsterdam, Tinbergen Institute and CREED), Hessel Oosterbeek (0000-0001-7078-9957, University of Amsterdam and Tinbergen Institute), Randolph Sloof (0000-0002-8113-1269, University of Amsterdam and Tinbergen Institute) |
| Year | 2001 |
| Volume | 111 |
| Issue | 474 |
| Pages | 791-820 |
| Publication date | 2001-10-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | The Economic Journal (JOURNAL) |
| Journal identifiers | ISSN: 0013-0133 • E-ISSN: 1468-0297 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1111/1468-0297.00660 |
| OpenAlex | W2124056910 |
| Language | EN |
| Citations received | 3 |
| References cited | 5 |
Experimental results are presented for a simplified version of Hart s(1995) theory of the firm. Theory predicts that investment levels remain constant when investors no-trade pay-offs increase, if these pay-offs are threat points. While they may decrease when no-trade pay-offs are outside options. Our results support these predictions in a relative sense. Average investment levels exceed the predicted level. Actual investment behaviour is consistent with the outcomes of the bargaining stage. The play of the game is supported by a reciprocity mechanism in which non-investors consider higher investment levels as fair behaviour which deserves a reward. Investors anticipate this
Asset (computer security · Business · Computer security · Financial system · Industrial organization · Relation (database · Auction Theory and Applications · Computer Science · Corporate Finance and Governance · Experimental Behavioral Economics Studies · Finance
| Unique citing works | 3 |
|---|---|
| Citations per year | 0,13 |
| Citation span | 2002 - 2005 (4) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 3 |