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Fallback bargaining is a bargaining procedure under which bargainers begin by indicating their preference rankings over all alternatives. They then fall back, in lockstep, to less and less preferred alternatives - starting with first choices, then adding second choices, and so on - until an...
Persistent link: https://www.econbiz.de/10005605597
We consider two person bargaining games with independent preferences, with and without bilateral incomplete information. We show that, both in the ultimatum game and in the two-stage alternating-offers game, our equilibrium predictions are fully consistent with all robust experimental...
Persistent link: https://www.econbiz.de/10005605588
In 1972, Harsanyi and Selten characterized a one parameter asymmetric Nash solution. In this note I do the analog for the Kalai-Smorodinsky solution. By dropping symmetry and adding a restrivted version of Independence of Irrelevant Alternatives to the set of axioms that lead to the...
Persistent link: https://www.econbiz.de/10005605764
We axiomatically investigate the problem of rationalizing bargaining solutions by social welfare functions that are linear in every rank-ordered subset of Rn+. Such functions, the so-called Choquet integrals, have been widely used in the theories of collective and individual choice. We refer to...
Persistent link: https://www.econbiz.de/10005611673
The Lorenz-Pareto Optimal Frontier of a collective choice problem indentifies a (usually quite large) subset of all Pareto optimal outcomes which are not inegalitarian according to the Lorenz criterion. We study the basic properties of Lorenz-Pareto optimal choice functions and in particular...
Persistent link: https://www.econbiz.de/10005826798
This paper studies the conditions under which the basic results of the re vealed preference theory can be established on the domain of choice problems which include non-convex feasible sets, the exercice is closely related to the works of Peters and Wakker (1991) and Bossert (1994).
Persistent link: https://www.econbiz.de/10005826830