This paper studies multilateral negotiations among n players in an environment where there are externalities and contracts forming coalitions can be written and renegotiated. The negotiation process is modeled as sequential game of offers and counteroffers, and the study focus on the stationary...

In a series of papers, Schelling presented a microeconomic model of neighbourhood segregation that he called a "spatial proximity model". The model specifies a spatial setup in which the individual agents care only about the composition of their own local neighbourhood. Agents belong to two...

A well known problem in economics is to describe properly a situation where N agents are repeatedly competing to use the same limited resource. A version of this problem is known in the literature as the El Farol game: week after week N agents face the decision whether to go or not to go to a...

A generic property of biological, social and economical networks is their ability to evolve in time, creating or supressing links. We model this situation with an adaptive network of agents playing a Prisoner's Dilemma game. Each agent plays with its local neighbors, collects an aggregate payoff...

We consider the classical prisoner's dilemma being played repeatedly on a dynamic network, where agents may choose their actions as well as their co-players. Agents act profit-maximizing, fully rationally and base their decision only on local information. Individual decisions are made such that...

We analyze how strategic asset trading can be used to gain competitive advantage. In the case of electricity markets, companies seek to improve the value of their generating portfolios by acquiring, or selling, power plants. Accordingly, we derive the basic determinants of plant value,...

In this paper we study a local version of the Minority Game where agents are placed on the nodes of a directed graph. Agents care about beingin the minority of the group of agents they are currently linked to and employ myopic best-reply rules to choose their next-period state. We show that, in...