Replication data for: The Value of Relationships: Evidence from a Supply Shock to Kenyan Rose Exports

Version
1
Resource Type
Dataset
Creator
- Macchiavello, Rocco
- Morjaria, Ameet
Publication Date
2015-09-01
Description
-
Abstract
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)
Availability
Download
Relations
-
Is supplement to
DOI: 10.1257/aer.20120141 (Text)
Publications
-
Macchiavello, Rocco, and Ameet Morjaria. “The Value of Relationships: Evidence from a Supply Shock to Kenyan Rose Exports.” American Economic Review 105, no. 9 (September 2015): 2911–45. https://doi.org/10.1257/aer.20120141.
- ID: 10.1257/aer.20120141 (DOI)
Update Metadata: 2020-05-18 | Issue Number: 2 | Registration Date: 2019-10-12