Arbeitspapier
Indirect Evolution versus Strategic Delegation: A Comparison of Two Approaches to Explaining Economic Institutions
Two major methods of explaining economic institutions, namely by strategic choices or through (indirect) evolution, are compared for the case of a homogenous quadratic duopoly market. Sellers either can provide incentives for agents to care for sales, or evolve as sellers who care for sales in addition to profits. The two approaches are conceptually quite different, yet similar in the sense that both allow certain kinds of commitment. We show that when the two models are set up in intuitively comparable ways strategic delegation does not change the market results as compared to the usual duopoly solution, while indirect evolution causes a more competitive behavior. Thus the case at hand underscores the differences between the two approaches in explaining economic institutions.
- Sprache
-
Englisch
- Erschienen in
-
Series: Working Paper ; No. 1998:9
- Klassifikation
-
Wirtschaft
Noncooperative Games
Firm Behavior: Theory
Market Structure, Pricing, and Design: Oligopoly and Other Forms of Market Imperfection
- Thema
-
Indirect evolution
strategic delgation
commitment
duopoly markets
agency theory
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Dufwenberg, Martin
Güth, Werner
- Ereignis
-
Veröffentlichung
- (wer)
-
Uppsala University, Department of Economics
- (wo)
-
Uppsala
- (wann)
-
1998
- Handle
- URN
-
urn:nbn:se:uu:diva-2415
- Letzte Aktualisierung
-
10.03.2025, 11:44 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Dufwenberg, Martin
- Güth, Werner
- Uppsala University, Department of Economics
Entstanden
- 1998
Ähnliche Objekte (12)
Indirect evolution versus strategic delegation: A comparison of two approaches to explaining economic institutions
Sequential versus independent commitment: An indirect evolutionary analysis of bargaining rules
Do banks crowd in or out business ethics? An indirect evolutionary analysis
Tit for others' tat: Repeated prisoner's dilemma experiments with third-party monitoring and indirect punishment
Entrepreneurs' strategic decision making : experimental studies on strategic and exogenous uncertainty
Collectively ranking candidates: An axiomatic approach
A non-Bayesian approach to (un)bounded rationality
(Non-) behavioral economics: a programmatic assessment
Robust learning experiments: Evidence for learning and deliberation
Specific institutional aspects of international cooperation: A game theoretic account
Endogenous community formation and collective provision: A procedurally fair mechanism
Boundedly Rational Decision Emergence - A General Perspective and Some Selective Illustrations
Indirect evolution versus strategic delegation: A comparison of two approaches to explaining economic institutions
Sequential versus independent commitment: An indirect evolutionary analysis of bargaining rules
Do banks crowd in or out business ethics? An indirect evolutionary analysis
Tit for others' tat: Repeated prisoner's dilemma experiments with third-party monitoring and indirect punishment
Entrepreneurs' strategic decision making : experimental studies on strategic and exogenous uncertainty
Collectively ranking candidates: An axiomatic approach
A non-Bayesian approach to (un)bounded rationality
(Non-) behavioral economics: a programmatic assessment
Robust learning experiments: Evidence for learning and deliberation
Specific institutional aspects of international cooperation: A game theoretic account
Endogenous community formation and collective provision: A procedurally fair mechanism
Boundedly Rational Decision Emergence - A General Perspective and Some Selective Illustrations
Indirect evolution versus strategic delegation: A comparison of two approaches to explaining economic institutions
Sequential versus independent commitment: An indirect evolutionary analysis of bargaining rules
Do banks crowd in or out business ethics? An indirect evolutionary analysis
Tit for others' tat: Repeated prisoner's dilemma experiments with third-party monitoring and indirect punishment
Entrepreneurs' strategic decision making : experimental studies on strategic and exogenous uncertainty
Collectively ranking candidates: An axiomatic approach
A non-Bayesian approach to (un)bounded rationality
(Non-) behavioral economics: a programmatic assessment
Robust learning experiments: Evidence for learning and deliberation
Specific institutional aspects of international cooperation: A game theoretic account
Endogenous community formation and collective provision: A procedurally fair mechanism