A Predator-Prey Model of Appropriation, Production, and Exchange
AbstractAppropriation possibilities significantly alter economic fundamentals in a production and exchange economy. This is the primary lesson of our model, which combines Ricardian trade and the potential for predator/prey behavior. The model shows how conflict can be subdued by mutual gains from trade, but at a resource cost that modifies the exchange itself. On the other hand, it identifies conditions wherein appropriation incentives are so strong that specialized production and trade are precluded altogether. The model also reveals a new way to think about and measure the gains from trade.
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Bibliographic InfoPaper provided by College of the Holy Cross, Department of Economics in its series Working Papers with number 9602.
Length: 44 pages
Date of creation: Dec 1996
Date of revision:
Publication status: Published in "Economic Activity in the Shadow of Conflict," Economic Inquiry, Vol. 37:1, January 1999, pp. 166-179.
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Fax: (508) 793-3708
Web page: http://www.holycross.edu/departments/economics/website/
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appropriation; property rights; Predator-Prey game; conflict; exchange;
Find related papers by JEL classification:
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
- C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
- D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances
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