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Opinion Leaders in a Regime Change Game

Student: Maria Vilkova

Supervisor: Sergey Stepanov

Faculty: International College of Economics and Finance

Educational Programme: Financial Economics (Master)

Year of Graduation: 2019

This paper presents a regime change model. There is an autocratic society with N citizens and two revolutionary entrepreneurs. The regime chooses his policy on the policy space, then entrepreneurs observe its decision and choose their agendas sequentially. Citizens can either provide support or not, if they do they choose the level of their effort. In equilibrium, strategies of revolutionary entrepreneurs depend on the choice of the regime’s policy. If entrepreneurs compete against each other, when the regime can benefit from the adverse effects of the competition and choose policy that will minimize the likelihood of the successful revolution.

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