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Strategic Wage Bargaining with Destructive Power : The Role of Commitment

Author

Listed:
  • Manzini, P.

Abstract

We built a simple alternating offers bargaining model in which one of the players can commit to damage the "pie" they are bargaining over. The unique equilibrium partition his share does not vary monotonically with the discount factor.

Suggested Citation

  • Manzini, P., 1996. "Strategic Wage Bargaining with Destructive Power : The Role of Commitment," Discussion Papers 9617, University of Exeter, Department of Economics.
    • Handle: RePEc:exe:wpaper:9617
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    Cited by:

    1. Mehrdad Vahabi, 2011. "The Economics of Destructive Power," Chapters, in: Derek L. Braddon & Keith Hartley (ed.), Handbook on the Economics of Conflict, chapter 5, Edward Elgar Publishing.
    2. Mehrdad Vahabi, 2009. "A Critical Review of Strategic Conflict Theory and Socio-political Instability Models," Revue d'économie politique, Dalloz, vol. 119(6), pages 817-858.
    3. Manzini, Paola, 1999. "Strategic bargaining with destructive power," Economics Letters, Elsevier, vol. 65(3), pages 315-322, December.
    4. Volker Britz, 2016. "Destroying Surplus and Buying Time in Unanimity Bargaining," CER-ETH Economics working paper series 16/248, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.

    More about this item

    Keywords

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    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General

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