Zug um Zug 2015: Collective Bargaining as a Two-Level Game

Abstract

In this article we introduce a new feature to model collective bargaining processes: a two-level game setting with direct student-expert interaction. In the simulation Zug um Zug 2015 participants form union and management negotiation teams which negotiate with each other (first level) and with a management or union “tariff commission” which has to approve the proposed contracts (second level). Real-world negotiation experts constitute the tariff commissions to increase the degree of realism and the teaching effectiveness of the simulation. We introduce a negotiation process to facilitate an efficient knowledge transfer from experts to students.