Bargaining Behavior of Ghanaian Micro-entrepreneurs
Last registered on January 25, 2019

Pre-Trial

Trial Information
General Information
Title
Bargaining Behavior of Ghanaian Micro-entrepreneurs
RCT ID
AEARCTR-0003562
Initial registration date
January 14, 2019
Last updated
January 25, 2019 6:42 PM EST
Location(s)

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Primary Investigator
Affiliation
Vassar College
Other Primary Investigator(s)
PI Affiliation
NYU
PI Affiliation
NYU Abu Dhabi
Additional Trial Information
Status
In development
Start date
2019-01-16
End date
2019-08-01
Secondary IDs
Abstract
Although bargaining over the prices of goods and services is an integral part of life for the world's poor, little work has been done to extend bargaining models to a developing country context. A key feature of this understudied context is the prevalence of, and variation in, financial need (or the initial endowment) of bargainers, a feature currently ignored in previous bargaining theory and evidence. This study will use theory, panel data, real price bargaining exercises, and a lab-in-the-field experiment on a sample of garment-making firm-owners in Ghana to explore the relationship between a bargainer's initial endowment and their final allocation of surplus.
External Link(s)
Registration Citation
Citation
Hardy, Morgan, Gisella Kagy and Lena Song. 2019. "Bargaining Behavior of Ghanaian Micro-entrepreneurs." AEA RCT Registry. January 25. https://www.socialscienceregistry.org/trials/3562/history/40681
Experimental Details
Interventions
Intervention(s)
Using a sample of garment making micro-enterprises in Ghana, we will barter for child's shirt to be made and complete a survey with firm owners that elicits information about their business and household structure. After the bargaining transaction and survey have been completed, firm owners will be given one of two possible cash endowments and asked to participate in behavioral games that will include a lottery to elicit risk preferences and a bargaining game to simulate real-world bargaining behavior.
Intervention Start Date
2019-01-16
Intervention End Date
2019-01-17
Primary Outcomes
Primary Outcomes (end points)
Final price in bargaining exercises
Primary Outcomes (explanation)
Secondary Outcomes
Secondary Outcomes (end points)
Secondary Outcomes (explanation)
Experimental Design
Experimental Design
Each respondent will be given a cash endowment. The amount of the cash endowment is randomized between a control option and a treatment option.
Experimental Design Details
Not available
Randomization Method
Randomization by computer.
Randomization Unit
Individual
Was the treatment clustered?
No
Experiment Characteristics
Sample size: planned number of clusters
No clusters.
Sample size: planned number of observations
375 individuals
Sample size (or number of clusters) by treatment arms
Half of the sample will receive the large cash endowment (treatment option), and half will receive the smaller cash endowment (control option).
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
Supporting Documents and Materials

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IRB
INSTITUTIONAL REVIEW BOARDS (IRBs)
IRB Name
New York University Abu Dhabi Institutional Review Board
IRB Approval Date
2019-01-10
IRB Approval Number
(#109-2017)
Analysis Plan

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