According to Williamson (1985), the opportunistic behavior of the transacting parties is irrelevant in the absence of exogenous uncertainty. This study uses the volatility of a firm's stock (BETA) with respect to market as a measure of exogenous uncertainty.
Future studies may also explore the possibility that the impact of exogenous uncertainty on transaction modes may be qualitatively different from behavioral uncertainty (cf.
In the two-armed bandit study, in which exogenous uncertainty is present, consistent deviations from the "maximizing" strategy, described by the authors as experimentation and hedging, are observed.
There is no strategic uncertainty, no risk, no exogenous uncertainty, and no complex computation.
The removal of all strategic uncertainty, risk, exogenous uncertainty, and complex computations is not sufficient to ensure that subjects choose an optimal decision.