In this paper I study the strategic implications of coalition formation in an assembly. A coalition forms a voting bloc to coordinate the voting behavior of its members, acting as a single player and affecting the policy outcome. In a game of endogenous coalition formation, I show that voting...

Members of an assembly that chooses policies on a series of multidimensional ideological issues have incentives to coalesce and coordinate their votes, forming political parties. If an agent has an advantage to organize a party at a lower cost, a unique party forms and the policy outcome moves...