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We report the results of an experimental investigation of the Baron and Ferejohn (1989) model of legislative bargaining with cheap talk. Communication results in substantially increased proposer power, close to the stationary subgame perfect equilibrium prediction. This is achieved primarily...
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We study legislative bargaining with two person teams versus individuals. Teams pass minimum winning coalitions significantly more often than individuals, meeting or beating the demanding truth wins criteria. Teams have more proposer power, coming significantly closer to the very unequal payoffs...
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We study a situation in which a leader tries to induce followers to invest in a joint venture. This venture has three key properties: (1) returns are uncertain, (2) investments are complements, so investment is generally only profitable when the followers coordinate on investing, and (3)...
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