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Kinked Norms of Behaviour and Cooperation

Currarini, Sergio and Marini, Marco A. (2011): Kinked Norms of Behaviour and Cooperation. Published in: Economics Letters , Vol. 110, No. 3 (10 January 2011): pp. 223-225.

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Abstract

This paper revisits a particular norm of behaviour underlying the well known model of kinked demand. We show that under some standard regularity conditions this norm of behaviour sustains the efficient outcome in all symmetric games.

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