| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5060110 | Economics Letters | 2012 | 4 Pages |
Abstract
The holdup and holdout problems arise in different contexts, but they share certain fundamental similarities that have not generally been recognized. This paper characterizes the commonalties between the two problems and their remedies.
⺠The holdup and holdout problems are often confused. ⺠Holdups usually arise in contract settings where one party makes a transaction-specific investment prior to trade. ⺠Holdouts arise in the case of land assembly for large scale development projects. ⺠This paper uses a simple model to reveal the commonalities between the two problems.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Thomas J. Miceli, Kathleen Segerson,