kaal:claim:kaal-2014-dynamicregulationviagove-035

Negotiation of a governmental contract produces indirect information transfers, because the government can deduce from where the corporate wrongdoer places negotiating emphasis which governance shortcomings most need remedying.

Indirect information transfers and feedback effects may exist because the government may be able to deduce from the emphasis of the corporate wrongdoer's negotiations what particular governance shortcomings need par- ticular remedying.

Kaal, Dynamic Regulation via Governmental Contracts (2014), IV.2 Multilevel Feedback Effects, p. 27
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Kaal, Dynamic Regulation via Governmental Contracts (2014)

• the parties negotiate contract terms rather than accept imposed terms

mechanismsupport: arguedinstitutional-design

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