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Democratic Peace – A Principal-Agent Approach

  • Nadine Leonhardt

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    The present paper explicitly models the principal-agent relationship between a democratic population and its elected representative within a standard war bargaining setup. I fi nd that the specific structure of this relationship and the problems resulting from it help overcome information asymmetries in crisis bargaining. This provides an alternative theoretic explanation of democracies‘ signaling advantage which may turn out to be more realistic than the concept of audience costs.

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    File URL: http://repec.rwi-essen.de/files/REP_13_453.pdf
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    Paper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen in its series Ruhr Economic Papers with number 0453.

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    Length: 28 pages
    Date of creation: Nov 2013
    Date of revision:
    Handle: RePEc:rwi:repape:0453
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    1. Powell, Robert, 1996. "Bargaining in the Shadow of Power," Games and Economic Behavior, Elsevier, vol. 15(2), pages 255-289, August.
    2. Schultz, Kenneth A., 1999. "Do Democratic Institutions Constrain or Inform? Contrasting Two Institutional Perspectives on Democracy and War," International Organization, Cambridge University Press, vol. 53(02), pages 233-266, March.
    3. Weeks, Jessica L., 2008. "Autocratic Audience Costs: Regime Type and Signaling Resolve," International Organization, Cambridge University Press, vol. 62(01), pages 35-64, January.
    4. Fearon, James D., 1995. "Rationalist explanations for war," International Organization, Cambridge University Press, vol. 49(03), pages 379-414, June.
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