Mediation and Peace
AbstractThis paper applies mechanism design to con ict resolution. We determine when and how unmediated communication and mediation reduce the ex ante probability of con ict in a game with asymmetric information. Mediation improves upon unmediated communication when the intensity of con ict is high, or when asymmetric information is signi cant. The mediator improves upon unmediated communication by not precisely reporting information to con icting parties, and precisely, by not revealing to a player with probability one that the opponent is weak. Arbitrators who can enforce settlements are no more e ective than mediators who only make non-binding recommendations.
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Bibliographic InfoPaper provided by Competitive Advantage in the Global Economy (CAGE) in its series CAGE Online Working Paper Series with number 66.
Date of creation: 2011
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Other versions of this item:
- Johannes Hoerner & Massimo Morelli & Francesco Squintani, 2011. "Mediation and Peace," Economics Working Papers ECO2011/19, European University Institute.
- Johannes Horner & Massimo Morelli & Francesco Squintani, 2010. "Mediation and Peace," Economics Working Papers ECO2010/32, European University Institute.
- Johannes Horner & Massimo Morelli & Francesco Squintani, 2010. "Mediation and Peace," Levine's Working Paper Archive 661465000000000133, David K. Levine.
- Johannes Horner & Massimo Morelli & Francesco Squintani, 2010. "Mediation and Peace," Cowles Foundation Discussion Papers 1765, Cowles Foundation for Research in Economics, Yale University.
- C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-02-01 (All new papers)
- NEP-CDM-2012-02-01 (Collective Decision-Making)
- NEP-CTA-2012-02-01 (Contract Theory & Applications)
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