intergovernmental group. We uncover the role of preference alignment and preference independence between members of the coalition group … for equilibrium payoffs and welfare effects. In this analysis we also distinguishing between coalition groups with and … without side payments. Overall, coalition groups tend to perform well for the members of the coalition group in comparison to …

majority coalition can be stable, provided that reciprocity is sufficiently strong and widespread. In addition, a stable … minority coalition can exist, even with weak reciprocity preferences. This latter coalition is weakly larger than the maximum … stable coalition with standard preferences, but is characterized by mutually negative sentiments. …