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| Author: | Bordignon, M. Brusco, S. |
| Title: | Optimal secession rules |
| Journal: | European Economic Review
2001 : DEC, VOL. 45:10, p. 1811-1834 |
| Index terms: | |
| Freeterms: | FEDERALISM SECESSION |
| Language: | eng |
| Abstract: | Should the constitution of a federation allow for peaceful secession? Constitutionally defined secession rules are optimal ex post if the federation breaks down. However, they may be suboptimal ex ante if the member countries receive a benefit from the perceived long-term stability of the federation and constitutionally defined secession ruled increase the probability of a break-up. |
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