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Group formation and governance
reportposted on 2010-02-05, 16:31 authored by Ludovic Renou
This paper studies the impact of the governance of a group, whether be it unanimity, simple majority or qualified majority, on its (endogenously derived) size, composition, and inclination to change the status quo. Somewhat surprisingly, we show that not only unanimity might favor the formation of larger groups than majority, but also a change of status quo.