Epstein, Gil S.; Nitzan, Shmuel - CESifo - 2005
The compromise enhancing effect of lobbying on public policy has been established in two typical settings. In the first … 'principals' in one stage of the public-policy game and 'agents' in its second stage. The objective of this paper is to … demonstrate that in the latter setting, the compromising effect of lobbying need not exist. Our reduced-form, two-stage public-policy …