Herbst, Luisa; Konrad, Kai A.; Morath, Florian - 2015
independent of the balance of power. If bargaining involves endogenous demand choices, however, the likelihood of conflict is … higher if power is more imbalanced. Even though endogenous bargaining outcomes reflect the players' unequal fighting … strengths, strategic uncertainty causes outcomes to be most efficient when power is balanced. In turn, the importance of …