We analyze the structure of a society driven by power relations. Our model has an exogenous power relation over the set of coalitions of agents. Agents determine the social order by forming coalitions. The power relations determine the ranking of agents in society for any social order. We study...

The formation of coalitions to achieve both collaborative and competitive goals is a phenomenon we see all around us. The list of examples of this phenomenon is long and varied: production cartels, political lobbies, customs unions, environmental coalitions, and ethnic alliances are just a few...

Consider an environment with widespread externalities, and suppose that binding agreements can be written. We study coalition formation in such a setting. Our analysis proceeds by defining on a partition function an extensive form bargaining game. We establish the existence of a stationary...