The Determinants of Multilateral Bargaining: A Comprehensive Analysis of Baron and Ferejohn Majoritarian Bargaining Experiments
35 Pages Posted: 25 Mar 2020
Date Written: January 14, 2020
We collected and analyzed the data sets of all majoritarian Baron and Ferejohn (1989 Am. Pol. Sci. Rev.) experiments through 2018. By exploiting the variation of experimental parameters such as group size and discount factor we are able to test whether or not the theoretical point predictions and comparative statics hold and find virtually no support for the theory. Novel findings are reported about the effect of group size and discounting on distribution of the surplus, the proposer's share, agreement delay, and voting behavior. We also report on off-equilibrium behavior (after subjects fail to agree) and identify strong history-dependent behavior in the form of punishment and loyalty to previous proposers.
Keywords: Multilateral Bargaining; Experiments; Baron and Ferejohn; Meta Analysis
JEL Classification: D72; C78; D03; C92
Suggested Citation: Suggested Citation