Comments on: The Hold Up Problem In Sudan http://cheaptalk.org/2012/10/11/the-hold-up-problem-in-sudan/ A blog about economics, politics and the random interests of forty-something professors Wed, 22 May 2013 18:12:42 +0000 hourly 1 http://wordpress.com/ By: Anonymous http://cheaptalk.org/2012/10/11/the-hold-up-problem-in-sudan/#comment-18866 Thu, 11 Oct 2012 18:59:06 +0000 http://cheaptalk.org/?p=12227#comment-18866 What are Nobel predictions?

]]> By: Michael Webster http://cheaptalk.org/2012/10/11/the-hold-up-problem-in-sudan/#comment-18855 Thu, 11 Oct 2012 16:01:35 +0000 http://cheaptalk.org/?p=12227#comment-18855 You write: “For this difficulty to be resolved, the North has to be able to commit not to exploit the South in the future. But the Kenyan pipeline gives them this commitment power to some extent: If the North threatens to raise prices, the South can go the Kenya route. ”

The usual explanation of credible commitment is would require the North to unilaterally forgo some option, not for the South to acquire an extra option.

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