We present a version of Baliga and Sjöström’s (2012a) conflict games with two asymmetric players. The players …

negotiations are frictionless. Thus, the Coase conjecture does not hold. We study how the minimum length of conflict depends on the …We study whether the Coase conjecture holds in a model of bargaining during conflict due to Powell and Fearon. Two … players, A and B, contest a divisible resource. At any time during the conflict, they can make a binding agreement to share …

protocol or a conflict to appropriate the surplus. In the cooperative negotiations, disagreement corresponds to a pro rata … which conflict will be preferred to negotiated agreements (and vice versa), and we derive welfare implications. Finally, we … their relative size on the profitability of negotiated agreements. -- Bargaining ; Conflict ; Agency Problem …