Communication in multilateral bargaining

• 成果类型: Article
• 署名作者: Agranov, Marina; Tergiman, Chloe
• 署名单位: California Institute of Technology; University of British Columbia
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2014.06.006
• 发表日期: 2014
• 页码: 75-85
• 关键词: Legislative bargaining; COMMUNICATION; laboratory experiment

摘要

One of the most robust phenomena in the experimental literature on multilateral bargaining is the failure of proposers to extract equilibrium rents. However, all previous experiments have overlooked the fact that outside the lab committee members are allowed to - and do - engage in sometimes intense communication processes prior to voting on a proposal. We conduct an experimental test of the Baron-Ferejohn model in which we allow committee members to engage in unrestricted cheap-talk communication before a proposal is submitted. We find that proposers extract a significantly higher share of resources when communication is allowed. Communication increases proposer power through two channels. First, it mitigates the uncertainty surrounding the amount a coalition member is willing to accept. Second, it allows potential coalition members to compete for a place in the coalition by lowering this stated price. (C) 2014 Elsevier B.V. All rights reserved.