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Mediation - Boon or Bane for the Stability and Efficiency of Marriage?

  • Rundshagen, Bianca
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    Using non-cooperative game theory the effects of mediation on the divorce rate and on the utility of the spouses are analysed. Two kinds of mediation are considered: restricted mediation that reduces the costs of divorce and extended mediation that additionally may prevent divorces by demonstrating the potential for Pareto-improvements within marriage to the spouses. It is shown that restricted mediation not only may increase the divorce rate but that also both kinds of mediation are not necessarily welfare improving compared to the reference scenario without mediation.

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    Paper provided by Verein für Socialpolitik / German Economic Association in its series Annual Conference 2013 (Duesseldorf): Competition Policy and Regulation in a Global Economic Order with number 79840.

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    Date of creation: 2013
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    Handle: RePEc:zbw:vfsc13:79840
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    1. Chiappori, Pierre-André & Fortin, Bernard & Lacroix, Guy, 2001. "Marriage Market, Divorce Legislation and Household Labor Supply," Cahiers de recherche 0103, Université Laval - Département d'économique.
    2. Lundberg, Shelly & Pollak, Robert, 2007. "The American Family and Family Economics," IZA Discussion Papers 2715, Institute for the Study of Labor (IZA).
    3. Farrell, Joseph & Maskin, Eric, 1987. "Renegotiation in Repeated Games," Department of Economics, Working Paper Series qt9wv3h5jb, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    4. Saku Aura, . "Does the balance of power within a family matter? The case of the Retirement Equity Act," Working Papers 202, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
    5. McElroy, Marjorie B & Horney, Mary Jean, 1981. "Nash-Bargained Household Decisions: Toward a Generalization of the Theory of Demand," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 22(2), pages 333-49, June.
    6. Oleksandr Zhylyevskyy, 2012. "Spousal Conflict and Divorce," Journal of Labor Economics, University of Chicago Press, vol. 30(4), pages 915 - 962.
    7. Lundberg, S. & Pollak, R.A., 1991. "Separate Spheres Bargaining and the Marriage Market," Working Papers 91-08, University of Washington, Department of Economics.
    8. Mailath, George J. & Samuelson, Larry, 2006. "Repeated Games and Reputations: Long-Run Relationships," OUP Catalogue, Oxford University Press, number 9780195300796, July.
    9. Lundberg, Shelly & Pollak, Robert A, 1994. "Noncooperative Bargaining Models of Marriage," American Economic Review, American Economic Association, vol. 84(2), pages 132-37, May.
    10. Gary S. Becker, 1981. "A Treatise on the Family," NBER Books, National Bureau of Economic Research, Inc, number beck81-1, December.
    11. Binmore, Ken, 2007. "Playing for Real: A Text on Game Theory," OUP Catalogue, Oxford University Press, number 9780195300574, July.
    12. Gray, Jeffrey S, 1998. "Divorce-Law Changes, Household Bargaining, and Married Women's Labor Supply," American Economic Review, American Economic Association, vol. 88(3), pages 628-42, June.
    13. Konrad, Kai A & Lommerud, Kjell Erik, 1995. " Family Policy with Non-cooperative Families," Scandinavian Journal of Economics, Wiley Blackwell, vol. 97(4), pages 581-601, December.
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