 Negotiations in the Shadow of Outside Alternatives: An Estimation StrategyMarius Radean Sociological Methods & Research, 2021, vol. 50, issue 2, 597-626 Abstract: Many political and socioeconomic binary outcomes are the result of multiactor interaction: states joining a given international institution (e.g., military alliance, economic block) and not its rivals, people entering the workforce as an employee of a specific firm and not of its competitors, and so on. Yet most empirical studies analyze multilateral phenomena as the (joint) binary choice of either a single or, at most, two decision makers. This is due in part to a lack of empirical estimators that can efficiently deal with multiactor interaction. Analyzing multilateral processes as a set of either monadic or dyadic events, though, introduces bias and has important consequences for the estimates and ultimately the inferences that one would draw. In this article, I develop a new empirical estimator that is specifically designed to analyze multiparty interactions. Specifically, the model can accommodate the input of multiple actors into a unified, overarching decision-making process. Results from a Monte Carlo analysis and an application to real data on alliance formation demonstrate the superior performance of the new estimator relative to the standard approach. Keywords: partial observability models; limited dependent variable; multiparty interactions; conditional logit; joint binary decisions (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:sae:somere:v:50:y:2021:i:2:p:597-626 Access Statistics for this article More articles in Sociological Methods & Research |
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