This paper considers a two-stage project which requires investments to be made by different agents, who have career concerns, at each stage. The principal needs to decide whether the project should be continued or not after the first-stage outcome is realized. The principal can either keep the...

A budget needs to be distributed among jurisdictions through bargaining in the legislature. Using a simple three-player, three-period Baron and Ferejohn [Baron, D.P., Ferejohn, J.A., 1989. Bargaining in legislatures. American Political Science Review 83 (4), 1181-1206] style legislative...