Tangerås, Thomas P.; Lagerlöf, Nils-Petter - In: Scandinavian Journal of Economics 111 (2009) 1, pp. 1-27
In a game-theoretic framework, we analyse the circumstances under which self-enforcing redistribution and power-sharing coalitions can be used to peacefully resolve ethnic conflict. The existence of a pacific equilibrium depends crucially on ethnic diversity (the number of ethnic groups). The...