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The First Mover's Toolbox
Negotiating Within Reiterated Games
It's one thing to negotiate a deal between parties on a singular occasion. It's another entirely to repeatedly negotiate with the same parties from different positions of strength. Such is the case of Congress, which engages in reiterated games. Democrats and Republicans continuously gain and lose majorities.
Political scientist Frances Lee argues that when the possibility of winning a majority in the next election is a constant possibility, incentives for cooperation dwindle. Now, with Democrats in control of both chambers of Congress and the White House, the Biden administration has the ability to pass legislation without Republican support. Should Democrats do that, or does compromise make sense even if there is no guarantee of reciprocal action? Previously, Republicans blocked many items on former President Obama's legislative agenda when they recaptured majorities in the House and Senate. So, shouldn't a negotiator in a reiterated game—the Democrats, here—attempt to maximize their gains while in control?
In reiterated games, there is no guarantee of reciprocated cooperation upon becoming the weaker party. If the dominant party chooses, it can marginalize the desires of its opponent. Oftentimes, negotiators play hardball and seek to maximize gains from their opponents, ignoring the possibility of a role reversal. But doing so runs the risk of reciprocated retribution, leading them to achieve few, if any, of their objectives upon losing high ground in the reiterated game.
The advanced negotiator knows this and does not let feelings dictate her actions. Instead, she will conduct a rational analysis of the zone of possible agreement (ZOPA). Is there room for compromise even if it means the final outcome is not "perfect"? Is it worth making concessions on substance if they can help preserve a relationship or make a deal more sustainable? If so, maximizing gains at all cost may not be the prudent course of action.
The bottom line: Negotiators should be cognizant of the continuous nature of reiterated games. Do not lose sight of the changing power dynamics in negotiations. When assessing a potential compromise, focus on your and the other party's core interests and not on the desire to exact revenge.
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