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• W2141058833 abstract "I study the design and implementation of trade agreements under asymmetric information with the help of an impartial third party. The Dispute Settlement Body (DSB) of the World Trade Organization is modeled as an impartial entity that provides ‘recommendations’ for the resolution of disputes based on its imperfect observation of the state of the world. A model of post-ruling bargaining is proposed in which the parties regard the DSB’s recommendations as a reference point. The recommendations of the DSB reduce the cost of providing incentive for revelation of private information by framing renegotiations in favor of the party who is more likely to have a legitimate claim. Moreover, pre-trial bargaining is modeled as a signaling game in the shadow of litigation. The model has rich predictions regarding generation of disputes, selection of cases for litigation, the ruling pattern of the DSB, compliance and retaliations. In particular, noncompliance with the DSB rulings" @default.
• W2141058833 created "2016-06-24" @default.
• W2141058833 creator A5001046297 @default.
• W2141058833 date "2009-01-01" @default.
• W2141058833 modified "2023-09-23" @default.
• W2141058833 title "Third-Party-Assisted Renegotiation of Trade Agreements ∗" @default.
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• W2141058833 hasPublicationYear "2009" @default.
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