Multilateral negotiations occur in several settings: Collective action negotiation treaties requiring multiple participants Termination of

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1 Multilateral negotiations occur in several settings: Collective action negotiation treaties requiring multiple participants Termination of multilateral wars Coalition formation International organizations Administrative agreements

2 Key Differences between Bilateral and Multilateral Negotiations The need for consensus Coalition building processes Multilateral negotiations allow more linkage politics Difficulty of mediation in multilateral negotiations Difficulty deciding on collective decision rules Monitoring and implementing agreements in multilateral negotiations Problems of information and identification of Pareto-set The Free rider problem

3 Most multilateral agreements by their very nature require consensus to to be be effective. This provides veto power to to renegade states. It It tends to to lead to to blackmail and to to higher cost of of agreements Longer and more complex negotiations Allow for agreements with significant majority?

4 Coalition building is an inseparable aspect of multilateral negotiations. Identifying actors interests Assessing actors power Creating linkages Side payments: how to make them and how to prevent others from luring one s coalition partners by side payments Coalition building as a process of consensus making

5 Linkage politics concerns several possible tactical devices: 1. Connecting current bargain to other bargaining processes between or among states 2. Creating linkages between issues in negotiations 3. Creating linkages between current bargaining positions and relations on other issues (e.g., trade, military aid, etc.)

6 Mediation in Multilateral Negotiations Problems of mediation Voluntary more parties need to agree to insert an n+1 negotiator Mediator has less leverage Mediator has smaller information gap Difficulty of applying carrots and sticks Lower payoffs in mediation

7 Collective Decision Rules Typical rule consensus Majority rule weights to countries Order of vote Agenda setting Sequential ratification of agreements Renewal rules

8 There is an inherent difficulty in monitoring agreements in general; multilateral agreements are very difficult to monitor. The key problem is that the temptation to violate a multilateral agreement is high because, (1) violation by one member cannot be easily detected in terms of observable outcomes, and (2) monitoring agreements that involve multiple participants is particularly difficult. A key device is the establishment of independent monitoring agencies that are run independently of the signatories of multilateral treaties and are accountable to the terms of the treaty. For example, the IAEA, the IATA

9 In In negotiations we wish to to obtain information about our opponent s utility and about his/her reservation price. Knowledge of of these things can help us us Avoid wasteful negotiations in in cases where there is is no zone of of agreement Get the best deals when there is is a ZOA In In multilateral negotiations we need to to know everybody s preferences. This information is is difficult to to acquire Moreover, even if if we have information about parties preferences and reservation prices, it it is is difficult to to calculate the best deal with more than two players. When the number of of players is is large, this is is impossible

10 The free rider problem is a key problem in the business of provision of public goods. A public good is a value, asset, or benefit that has the following characteristics: 1. In order to be made available, it needs to be financed. 2. The use of the good cannot be restricted to those who contribute to making it available. 3. Small defections from contribution to the provision of the public good do not affect its availability 4. This tends to result in free riders: use of the public good without contributing to its cost