Mediation in Reputational Bargaining

S-Tier
Journal: American Economic Review
Year: 2021
Volume: 111
Issue: 8
Pages: 2444-72

Score contribution per author:

8.073 = (α=2.02 / 1 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Can an uninformed mediator improve outcomes in a dynamic reputational bargaining model? I show that a simple communication protocol used by professional mediators, of announcing an agreement only if both parties privately accept its terms, can increase the payoffs of rational bargainers, but only if communication is noisy: the mediator must sometimes fail to suggest a deal even when both bargainers accept it.

Technical Details

RePEc Handle
repec:aea:aecrev:v:111:y:2021:i:8:p:2444-72
Journal Field
General
Author Count
1
Added to Database
2026-01-25