Outcomes under the Baron-Ferejohn (1989) model are investigated when proposers distribute benefits versus imposing costs under an experimental design where predicted outcomes are theoretically isomorphic, absent reference dependent preferences. Initial experimental sessions showed greater...

Recent interest in reducing budget deficits raises questions regarding the impact on legislative bargaining of cuts versus increases in government spending. Using an experimental design where the outcomes are theoretically isomorphic results in significant differences in bargaining outcomes:...