We report the results of experiments designed to test recent theories of vertical foreclosure. Consistent with the theory, vertical integration improves the upstream firm’s ability to commit to restricting output to the monopoly level, as does the use of public contracts. Public contracts are not a perfect substitute for vertical integration, however: integration allows more surplus to be extra...

Contracts for the procurement of government goods/services are realm private law that implements pure contracts. A legal relationship in a contract, especially contract settlement, is between settlement rights and obligations parties. This study describes goods/service contracts require basis both principle theory. By using conceptual analysis method, findings indicate an inconsistency solving ...

In the early 2000s, Costa Rica implemented comprehensive reforms of its health care system, including devolving administrative power from the central government to some providers that remain part of the national system. In this article, we evaluate how this aspect of the reform affected clinic efficiency and population health by analyzing administrative data on regional providers and mortality ...