Bargaining in Legislatures: A New Donation Paradox
Maria Montero
No 2010-19, Discussion Papers from The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham
Abstract:
It is well known that proposers have an advantage in the canonical model of bargaining in legislatures: proposers are sure of being part of the coalition that forms, and, conditional on being in a coalition, a player receives more as a proposer than as a coalition partner. In this paper I show that, if parties di¤er in voting weight, it is possible for a party to donate part of its proposing probability to another party and be better-o¤ as a result. This can happen even if the recipient never includes the donor in its proposals. Even though actually being the proposer is valuable, having a higher probability of being proposer may be harmful.
Keywords: legislative bargaining; weighted majority games; voting paradoxes (search for similar items in EconPapers)
JEL-codes: C78 D72 (search for similar items in EconPapers)
Date: 2010-11
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Citations: View citations in EconPapers (1)
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Chapter: Bargaining in Legislatures: A New Donation Paradox (2023)
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Persistent link: https://EconPapers.repec.org/RePEc:not:notcdx:2010-19
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