Bargaining solutions at work: Qualitative differences in policy implications

@article{Gerber2006BargainingSA,
  title={Bargaining solutions at work: Qualitative differences in policy implications},
  author={Anke Gerber and Thorsten Upmann},
  journal={Mathematical Social Sciences},
  year={2006},
  volume={52},
  pages={162-175}
}
Traditional bargaining theory characterizes solutions to bargaining problems by their properties in the utility space. In applications, however, one is usually interested in the implications of the conflict resolution within the economic environment, where the properties of axiomatic bargaining solutions are less well understood. By means of a standard bargaining model for the labor market we demonstrate that economic policy implications may be very sensitive to the choice of the bargaining… CONTINUE READING

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