Abstract
We study legislative bargaining with two person teams versus individuals. Teams pass minimum winning coalitions significantly more often than individuals, meeting or beating the demanding truth wins criteria. Teams have more proposer power, coming significantly closer to the very unequal payoffs predicted under the stationary subgame perfect equilibrium. We are able to disentangle the effects of increased group “rationality” (the two heads effect) from increased aggression and/or increased selfishness on the part of teams as the primary factor behind teams’ closer conformity to standard game theoretic predictions, with teams’ increased rationality primarily behind the closer conformity reported.
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