Bargaining with endogenous deadlines
نویسندگان
چکیده
We develop a two-person negotiation model with complete information that makes endogenous both the deadline and the level of surplus destruction after the deadline. We show that the undominated Nash equilibrium outcome is always unique but might be inefficient. Moreover, as the bargaining period becomes short or as the players become very patient, the unique undominated Nash equilibrium outcome is always inefficient. © 2003 Elsevier B.V. All rights reserved. JEL classification: C78; J50; J52
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