| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5062499 | Economics Letters | 2007 | 7 Pages |
Abstract
We show that, in a multi-agent contract setting, the principal can effectively rule out tacit collusion among agents (i.e., “bad” equilibrium) by posting permanent job openings to an external labor market. That is, a simple “market-like” employment mechanism can yield collusion-proof contracts.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Jeremy Bertomeu,