This paper provides a new strategic underpinning of the axiomatic Nash bargaining solution that is widely applied in … unique subgame perfect equilibrium of a strategic bargaining model in which the risk of breakdown grows infinitely large. We …

. A worker's bargaining position reflects their own productivity, and also the employment status and conditions of their …

Stole-Zwiebel bilateral bargaining problem. Helpman and Iskhoki (2008) show that a unique single wage (degenerate …

This paper explores the possibility of privately inefficient job separations due to bargaining friction and its … implications for the unemployment dynamics. I propose a simple specification of bargaining friction by including bargaining wedges … in the standard Nash bargaining model. Such bargaining wedge arises when, for example, wages are determined by …