Ikonnikova, Svetlana; Zwart, Gijsbert T.J. - In: Journal of the European Economic Association 12 (2014) 1, pp. 177-199
We consider a market in which domestic buyers negotiate contracts with foreign sellers, and explore how trade quotas can help to increase the buyers' countervailing power. We use the Shapley value to describe bargaining power and the distribution of the trade surplus in such a bilateral...