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bargaining game in which negotiators can make strategic commitments to durable offers. Commitments decay stochastically, but … attrition: Negotiators initially commit to incompatible offers, but agreement occurs once a negotiator's commitment decays. If …
Persistent link: https://www.econbiz.de/10010931181
Despite extensive use of bargaining models in economics and despite Becker's insistence on the importance of altruism … in families, the theoretical literature on bargaining ignores altruism and assumes that everyone is an egoist. This paper … shows that incorporating altruism into cooperative bargaining models shrinks the set potential cooperative bargaining …
Persistent link: https://www.econbiz.de/10013388855
approaches to coalition formation, one based on cooperative game theory, the other based on noncooperative bargaining. Three …
Persistent link: https://www.econbiz.de/10014025454
We study the role of commitment as a source of strategic power in a non-cooperative bargaining game. Two impatient … recognition probabilities. Before bargaining, a player can commit to some part of the surplus. This commitment remains binding … players bargain about the division of a shrinking surplus under a standard bargaining protocol in discrete time with constant …
Persistent link: https://www.econbiz.de/10010603330
Two groups of voters of known sizes disagree over a single binary decision to be taken by simple majority. Individuals have different, privately observed intensities of preferences and before voting can buy or sell votes among themselves for money. We study the implication of such trading for...
Persistent link: https://www.econbiz.de/10011084134
In his classic article “An Essay on Bargaining” Schelling (1956) argues that ignorance might actually be strength … rather than weakness. We test and confirm Schelling's conjecture in a simple take-it-or-leave-it bargaining experiment where … proposer. In additional treatments we investigate bargaining situations where the proposer can deliberately remain ignorant. …
Persistent link: https://www.econbiz.de/10011048133
We study a negotiation model with a disagreement game between offers and counteroffers. When players have different … characterized by a minmax problem involving efficient equilibrium payoffs that are above the bargaining frontier, which is possible …
Persistent link: https://www.econbiz.de/10011049845
We show that the Nash demand game has the fictitious play property. We also show that almost every fictitious play process and its associated belief path converge to a pure-strategy Nash equilibrium in the Nash demand game.
Persistent link: https://www.econbiz.de/10010743686
An evolutionary style model of recontracting is given which guarantees convergence to core allocations of an underlying cooperative game. Unlike its predecessors in the evolution/learning literature, this is achieved without assumptions of convexity of the characteristic function or a reliance...
Persistent link: https://www.econbiz.de/10010582585
We prove existence of stationary Markov perfect equilibria in an infinite-horizon model of legislative policy making in which the policy outcome in one period determines the status quo for the next. We allow for a multidimensional policy space and arbitrary smooth stage utilities, and we assume...
Persistent link: https://www.econbiz.de/10010594322