Unformatted text preview: war. i.e. A and B both want to increase territory, A’s gain is B’s loss and vice versa. Why does bargaining fail?-Indivisible Issue—bargaining range does not exist because dividing does not work.-Incomplete Information-Commitment Issues How do we solve these problems? Indivisible issue-compensation Information-make things less transparent, democracies are more open Commitment Issues- make it more costly to defect. International institutions, i.e. trade embargos....
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- Spring '07
- Quiz Bargainin Model, Indivisible issue-compensation Information-make, -Incomplete Information -Commitment