Economic Integration as a Partition Function Game
We analyze the problem of economic integration using a cooperative approach. By explicitly introducing time as an endogenous variable, we make sharp predictions about the timing of admission to coalitions, about the equilibrium coalition structure, about the equilibrium payoff distribution, as well as about the equilibrium length of the admission game. We derive conditions under which a union chooses different paths of admission in order to reach the optimal size; we show that the observed sequencing of admissions to the European Union is not consistent with the existence of perfectly competitive markets to price the admission of candidate countries. Welfare implications are derived.
|Date of creation:||Feb 1997|
|Date of revision:|
|Contact details of provider:|| Postal: 1155 East 60th Street, Chicago, IL 60637|
Web page: http://harrisschool.uchicago.edu/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:har:wpaper:9602. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Eleanor Cartelli)The email address of this maintainer does not seem to be valid anymore. Please ask Eleanor Cartelli to update the entry or send us the correct email address
If references are entirely missing, you can add them using this form.