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Bargaining with Outside Options

In: State, Institutions and Democracy

Author

Listed:
  • Ken Binmore

    (University of Bristol)

  • Jon X. Eguia

    (Michigan State University)

Abstract

We begin by reviewing the theory of two-person bargaining and three-person bargaining over a unit of wealth in the presence of outside options. We then explore the implications and developments in the literature for bargaining games with more than three players, and in particular, for legislative bargaining games in a democratic assembly with many members who decide by majority rule how to divide a unit of wealth, or an infinite sequence of units of wealth.

Suggested Citation

  • Ken Binmore & Jon X. Eguia, 2017. "Bargaining with Outside Options," Studies in Political Economy, in: Norman Schofield & Gonzalo Caballero (ed.), State, Institutions and Democracy, pages 3-16, Springer.
  • Handle: RePEc:spr:stpocp:978-3-319-44582-3_1
    DOI: 10.1007/978-3-319-44582-3_1
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    Cited by:

    1. Palsule-Desai, Omkar D., 2021. "Multi-product supply networks: Implications of intermediaries," European Journal of Operational Research, Elsevier, vol. 292(3), pages 909-929.

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