We examine the voluntary participation problem in negotiations on providing public goods. In contrast to earlier studies, negotiation is followed by renegotiation in our model. First, players decide whether to participate in a negotiation, and the participants produce a public good. The...

In this paper, we consider a Cournot duopoly market in which the patent‐holding firm negotiates with its rival firm about payments for licensing a cost‐reducing innovation. Applying the Nash bargaining solution, we compare two licensing policies, a fixed fee and a royalty. Our results are as...