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- W3202715723 abstract "The strategic importance of commitment in bargaining is widely acknowledged. Yet disentangling its role from key features of canonical models, such as proposal power and reputational concerns, is difficult. This paper introduces a model of bargaining with strategic commitment at its core. Following Schelling (1956), commitment ability stems from the costly nature of concession and is endogenously determined by players' demands. Agreement is immediate for familiar bargainers, modelled via renegotiation-proofness. The unique prediction at the high concession cost limit provides a strategic foundation for the Kalai bargaining solution. Equilibria with delay feature a form of gradualism in demands." @default.
- W3202715723 created "2021-10-11" @default.
- W3202715723 creator A5013664198 @default.
- W3202715723 date "2021-01-01" @default.
- W3202715723 modified "2023-10-16" @default.
- W3202715723 title "Bargaining as a Struggle Between Competing Attempts at Commitment" @default.
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- W3202715723 doi "https://doi.org/10.2139/ssrn.3800521" @default.
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