We study the question of whether there exist strategies whereby countries are able to sustain a cartel or collusive behavior when bargaining with a bank over the amount of debt to be repaid. We show that despite the existence of economies to scale in bargaining--if commitment were possible the...

This paper models the wage-contract negotiation procedure between a union and a firm as a sequential bargaining process in which the unionalso decides, in each period, whether or not to strike for the duration of that period. We show that there exist subgame-perfect equilibria in which the union...