Replication data for: The Value of Relationships: Evidence from a Supply Shock to Kenyan Rose Exports
Principal Investigator(s): View help for Principal Investigator(s) Rocco Macchiavello; Ameet Morjaria
Version: View help for Version V1
Name | File Type | Size | Last Modified |
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AER-2012-0141-replication | 10/11/2019 11:29:PM | ||
LICENSE.txt | text/plain | 14.6 KB | 10/11/2019 07:29:PM |
Project Citation:
Macchiavello, Rocco, and Morjaria, Ameet. Replication data for: The Value of Relationships: Evidence from a Supply Shock to Kenyan Rose Exports. Nashville, TN: American Economic Association [publisher], 2015. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-11. https://doi.org/10.3886/E112872V1
Project Description
Summary:
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This paper provides evidence on the importance of reputation in the context of the Kenyan rose export sector. A model of reputation and relational contracting is developed and tested. A seller's reputation is defined by buyer's beliefs about seller's reliability. We show that (i) due to lack of enforcement, the volume of trade is constrained by the value of the relationship; (ii) the value of the relationship increases with the age of the relationship; and (iii) during an exogenous negative supply shock deliveries are an inverted-U shaped function of relationship's age. Models exclusively focusing on enforcement or insurance considerations cannot account for the evidence. (JEL D86, F14, L14, O13, O19, Q17)
Scope of Project
JEL Classification:
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D86 Economics of Contract: Theory
F14 Empirical Studies of Trade
L14 Transactional Relationships; Contracts and Reputation; Networks
O13 Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products
O19 International Linkages to Development; Role of International Organizations
Q17 Agriculture in International Trade
D86 Economics of Contract: Theory
F14 Empirical Studies of Trade
L14 Transactional Relationships; Contracts and Reputation; Networks
O13 Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products
O19 International Linkages to Development; Role of International Organizations
Q17 Agriculture in International Trade
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