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Bilateral bargaining situations are often characterized by informational asymmetries concerning the size of what is at stake: in some cases, the proposer is better informed, in others, it is the responder. We analyze the effects of both types of asymmetric information on proposer behavior in two...
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Two deviations of alternating-offer bargaining behavior from economic theory are observed together, yet have been …
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This paper characterizes equilibrium outcomes of extensive form games with incomplete information in which players can sign renegotiable contracts with third-parties. Our aim is to understand the extent to which third-party contracts can be used as commitment devices when it is impossible to...
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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 chapter surveys the past applications of game theory to the study of terrorism. By capturing the strategic … interplay between terrorists and targeted governments, game theory is an appropriate methodology for investigating terrorism and … counterterrorism. Game theory has been used to examine the interaction among targeted governments, the interface between factions …
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