Hence, the union or the firm may choose to hold out even if the

expected payoff from holding out or conceding in a mixed-strategy equilibrium is less than the payoff when both concede.

j] = (w + 1)/(2 N + 1) and smaller

expected payoff [[pi]*.

Whenever the retained worker's outside option exceeds his continuation

expected payoff as if he was paid the current wage forever, there will be a wage jump in the next period to match it.

In the preceding sections, I employ the offer terms stated in Microsoft's letter to the Yahoo board at face value and use them in the formation of the

expected payoff to Yahoo if the merger goes through as in Equation (1).

In firms with a congruent worker representative incentivized through contingent payments and assuming that condition (5) is satisfied, the

expected payoff per employee ([EW.

Analogously,

expected payoff and the replicator dynamics equation of operator 2 are written as following respectively:

In both cases, the information clearly affects the

expected payoff of both the plaintiff and defendant at trial, and these are the types of informational asymmetry considered most often in the literature.

2002) offer subjects a choice between a gamble and a certain outcome equal to the

expected payoff of the gamble for various probabilities of winning the gamble (2%-98%).

By randomizing the message about its risk, and hence lying with strictly positive probability, the

expected payoff to the bank is strictly higher since randomization naturally exploits the reluctance to always audit.

Since visiting the job centre at any point in time resets t to zero, the

expected payoff to on-the-job search for a worker with pair t, k is thus given by

The incumbent chooses a level of costly effort, which translates into

expected payoff for voters, while in office.

If player B chooses Strategy 2 exclusively, then the

expected payoff for A would be [E.