Abstract:
This paper surveys some of the strategic aspects that emerge if players fight in an alliance against an enemy. The survey includes the free-rider problem and the hold-up problem that emerges in the baseline model, the role of supermodularity in alliance members' effort contributions, the role of budget constraints, the role of information transfer inside the alliance, and the role of in-group favoritism. --
More papers in Discussion Papers, Research Professorship & Project "The Future of Fiscal Federalism" from Social Science Research Center Berlin (WZB) Contact information at EDIRC. Series data maintained by ZBW - German National Library of Economics ().