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Policymakers' horizon and the sustainability of international cooperation

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Author Info
Conconi, Paola
Sahuguet, Nicolas

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Abstract

This paper examines the impact of policymakers' horizon on the sustainability of international cooperation. We describe a prisoners' dilemma game between two infinitely-lived countries run by policymakers. We show that re-election incentives can act as a discipline device, making it easier to sustain cooperation between policymakers with finite but potentially renewable mandates than between infinitely-lived policymakers. We also show that, when voting suffers from a recency bias, policymakers may have incentives to "collude" to get re-elected and term limits may help international cooperation.

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File URL: http://www.sciencedirect.com/science/article/B6V76-4V9S334-1/2/763c9a4eadee85051de1455ea0320a08
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Publisher Info
Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 93 (2009)
Issue (Month): 3-4 (April)
Pages: 549-558
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Handle: RePEc:eee:pubeco:v:93:y:2009:i:3-4:p:549-558

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Web page: http://www.elsevier.com/locate/inca/505578

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Related research
Keywords: Self-enforcing cooperation Re-election incentives Term limits;

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This page was last updated on 2009-12-3.


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