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In this chapter, we review the recent literature on conflict and appropriation. Allowing for the possibility of conflict, which amounts to recognizing the possibility that property rights are not perfectly and costlessly enforced, represents a significant departure from the traditional paradigm...
Persistent link: https://www.econbiz.de/10004976996
This paper studies the strategic role of extremism within a two-country multi-stage game and shows that, in general, an equilibrium exists in which extremism is used by both rivals. We show that often changes in the environment affect the two countries differently. Specifically, as a country...
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A bid-offer–counteroffer mechanism is proposed to solve a fundamental two-person decision choice problem with two alternatives. It yields a unique subgame perfect equilibrium outcome, and leads to an intuitive overall solution that offers a reconciliation between egalitarianism and...
Persistent link: https://www.econbiz.de/10010680551
new power configuration which takes into account bargaining among players in coalitions. We show that under very weak … conditions on a bargaining solution there is a power configuration which is stable with respect to renegotiations. We further … different bargaining solutions on apex games and show under which conditions there are core stable coalitions. Finally, we …
Persistent link: https://www.econbiz.de/10010189489
We present a model of bargaining in which a committee searches over the policy space, successively amending the default … by voting over proposals. Bargaining ends when proposers are unable or unwilling to amend the existing default, which is …
Persistent link: https://www.econbiz.de/10011674462
We experimentally investigate the effect of time pressure in a rich-context, unstructured bargaining game with earned … explained by a stronger connection between the tension in first proposals and the final bargaining outcome under time pressure …
Persistent link: https://www.econbiz.de/10011410589
by a draw from an Ellsberg urn. In a within-subject experiment, subjects make decisions in three different bargaining … mechanisms: unstructured bargaining, the Texas shoot-out, and a K + 1 auction. We find that the K +1 auction is the most e¢ cient … mechanism, which is in line with theory. Free format bargaining yields a surprising number of disagreements, which are not …
Persistent link: https://www.econbiz.de/10014380287