2008
DOI: 10.1016/j.euroecorev.2007.04.004
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Does resorting to online dispute resolution promote agreements? Experimental evidence

Abstract: This paper presents an experiment performed to test the properties of an innovative bargaining mechanism (called automated negotiation) used to resolve disputes arising from Internet-based transactions. The main result shows that the settlement rule tends to chill bargaining as it creates incentives for individuals to misrepresent their true valuations, which implies that automated negotiation is not able to promote agreements. However, this perverse effect depends strongly on the conflict situation. When the … Show more

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Cited by 8 publications
(5 citation statements)
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“…See also [5,6] for a survey on incomplete contracts literature. See [9] for an-experimental-analysis of online negotiation, and [10], who describes how two major ODR platforms (i.e., Cybersettle and SquareTrade) worked. The reader can also refer to [11,12] for a more comprehensive overview of the different ODR methods that existed at the time.…”
Section: Discussionmentioning
confidence: 99%
See 1 more Smart Citation
“…See also [5,6] for a survey on incomplete contracts literature. See [9] for an-experimental-analysis of online negotiation, and [10], who describes how two major ODR platforms (i.e., Cybersettle and SquareTrade) worked. The reader can also refer to [11,12] for a more comprehensive overview of the different ODR methods that existed at the time.…”
Section: Discussionmentioning
confidence: 99%
“…Chief invests 2000 PNK (i.e., 'Pinakion', which is the crypto-token used by Kleros to select jurors for disputes), knowing that the likelihood of being selected as a juror increases with the amount invested. 9 Shortly thereafter, Chief is informed that he has been selected as a juror. He can then check the evidence and has three days to send a decision.…”
Section: Kleros and Decentralized Justicementioning
confidence: 99%
“…Other behavioral researchers explore the various aspects of negotiation, which are not discussed in design type of research: promoting agreements [52], the importance of language familiarity [53], anger, and flaming [54], different media and agreement [55], longer-term consequences of anger expression [56], and the effect of emotive language [57]. There are also studies [54][55][56][57][58][59] which used students in simulated deal-making negotiations.…”
Section: Overview Of Different Odr Artifacts Using Ai Techniquesmentioning
confidence: 99%
“…Among other things, ODR works with confidential business information. As reported by Gabuthy et al [52], a laboratory experiment is the only way to get data. In their case, this was a simulation experiment using game theory and did not directly involve human participants, as the experiment requires full control of the systematicity and accuracy of the realization by the researcher [76].…”
Section: Evaluation Of the Proposed Solutionmentioning
confidence: 99%
“…If the dispute cannot be settled amicably, the parties can go to court or consider other dispute settlement procedures such as mediation, conciliation, etc. Recently, in countries of both general and continental traditions of law one can note increasingly active interest of researchers in alternative methods of dispute resolution (Bingham 2002;Chan and Suen 2005;Koolwijk 2006;Gebken and Gibson 2006;Gabuthy et al 2008;Ma et al 2008).…”
Section: Introductionmentioning
confidence: 99%