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Although this historic dispute dates back to the 1950s and 60s, there now appears to be a stable equilibrium: the Island of Cyprus has been divided into two separate enclaves–one Turkish, the other Greek–since 1974, separated by a 180-kilometer United Nations Buffer Zone known as the “Green Line.” But are two-state solutions stable in the long run? (Check out this report via Washington Post for more details about ongoing reunification talks. Bonus question: Does the Coase theorem apply to these types of ethnic conflicts?)