Collective Deterrence in the Shadow of Shifting Power

Author(s):  
Julianne Phillips ◽  
Scott Wolford

Abstract Twelve of twenty-six war-winning coalitions since 1815 have seen at least two members go to war against one another after victory. What separates durable and fragile war-winning coalitions? To answer this question, we analyze a game-theoretic model of shifting intra-coalition power and collective deterrence. We show that (1) shifting power within war-winning coalitions can undermine commitments to the postwar settlement, but (2) revisionist threats from a powerful defeated side can enhance the credibility of commitments within the winning coalition, securing peace when intra-coalition war would otherwise be inevitable. We also recover these patterns in empirical models of the outbreak of war between former coalition partners: shifting power within a coalition is associated with increased probabilities of intra-coalition war, but only when the defeated side is not too powerful. A common enemy can thus preserve peace between former partners who would otherwise go to war over the terms of shared victory.

2017 ◽  
pp. 120-130
Author(s):  
A. Lyasko

Informal financial operations exist in the shadow of official regulation and cannot be protected by the formal legal instruments, therefore raising concerns about the enforcement of obligations taken by their participants. This paper analyzes two alternative types of auxiliary institutions, which can coordinate expectations of the members of informal value transfer systems, namely attitudes of trust and norms of social control. It offers some preliminary approaches to creating a game-theoretic model of partner interaction in the informal value transfer system. It also sheds light on the perspectives of further studies in this area of institutional economics.


2020 ◽  
Author(s):  
Nargiz Mammadova ◽  
Aygun Malikova ◽  
Arzu Heydarova

2021 ◽  
pp. 097674792198917
Author(s):  
Nikita Jain

Strong labour laws play a major role in motivating innovation among employees. It has been found in the literature that stringency of labour laws is positively linked with employees’ efforts in innovation, in particular, wrongful discharge laws (WDL). However, employees may also bring nuisance suits against employers. Usually, the result of these suits is that both parties settle with each other. Thus, even if employees are justly dismissed, they may be able to bring nuisance suits against employers and gain a settlement amount. This article investigates how the possibility of nuisance suits affects the impact of WDL on employees’ efforts in innovation. In this respect, a game-theoretic model is developed in the article to find the equilibrium level of employees’ efforts in the presence of nuisance suits, where there is a possibility of employees getting discharged from the firm. I find that if nuisance suits are a possibility, the stringency of WDL has no impact on employees’ efforts if defence cost of the firm is low; but for higher defence costs, WDL affects employees’ efforts. The efforts exerted by an employee are found to be weakly increasing in the defence costs of the firm.


2019 ◽  
Vol 1399 ◽  
pp. 033095
Author(s):  
Irina Zaitseva ◽  
Tatiana Svechinskaya ◽  
Vladimir Zakharov ◽  
Natalia Zakharova ◽  
Andrey Murashko

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