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POLITICS IN SEPARATING REGIONS: DELEGATION WHEN DECISIONS ARE TAKEN IN REFERENDA
Category: Economic Theory
Political Economy II Monday 26th August 2002, 09:30 - 11:00, Room: 1.14
Session Chair(s):
Ramon Fauli-Oller, University of Alicante, SPAIN
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Abstract:
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This paper analyzes the incentives in regional politics when citizens face a referendum on secession. Regional politicians influence the electorates vote by disseminating superior information about the economic consequences of separation. More independent minded politicians endogenously bias information to make the electorate more separatist, which can be used strategically by the latter when bargaining with the rest of the country on how to allocate the gains of staying unified. The general idea that an uninformed player can increase his bargaining power by appointing an expert more sceptical to co-operation is labeled "strategic delegation of information acquisition".
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Find this file in the \Papers\95\ folder of this CD-ROM.
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