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A two-person infinite-horizon bargaining model where one of the players may have either of two discount factors, has a multiplicity of perfect Bayesian equilibria. Introducing the slightest possibility that either player may be one of a rich variety of stationary behavioral types singles out a...
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This paper studies the comparative statics regarding changes in risk on Nash's solution to bargaining games with … stochastic outcome and disagreement points. When absolute risk tolerance is linear with constant slope, the Nash's solution to … two risk-averse agents. We show that whether a deterioration of a bargainer's risky prospect is advantageous to his …
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the complexities of the real-world example of the Brexit negotiations …
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In this paper we analyze how ratification uncertainty impacts the optimal terms of international environmental agreements (IEAs). We relax the frequent assumption of countries as unitary actors by modeling the ratification stage through uncertain preferences of a ratifying agent (e.g. the...
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