Showing 1 - 10 of 212
the policies they can pursue are constrained by the identity of the coalition members. In the model, a formateur picks a … coalition and negotiates for the allocation of the surplus it is expected to generate. The formateur is free to change … generalized version of a Nash Bargaining Solution in which --in contrast to the standard solution-- the coalition is endogenous …
Persistent link: https://www.econbiz.de/10012479615
A "Nash equilibrium in Nash bargains" has become a workhorse bargaining model in applied analyses of bilateral oligopoly. This paper proposes a non-cooperative foundation for "Nash-in-Nash" bargaining that extends the Rubinstein (1982) alternating offers model to multiple upstream and downstream...
Persistent link: https://www.econbiz.de/10012458024
coalitions to provide public goods. Theory is ambiguous on the equilibrium coalition size and contribution rates. We examine the … emergence of coalitions, their size, and how uncertainty in public goods provision affects contribution levels and coalition … coalition to provide the good. Contrary a core theoretical result, we find that coalition size increases when the public good …
Persistent link: https://www.econbiz.de/10012463106
We study the formation of a ruling coalition in political environments. Each individual is endowed with a level of … political power. The ruling coalition consists of a subset of the individuals in the society and decides the distribution of … resources. A ruling coalition needs to contain enough powerful members to win against any alternative coalition that may …
Persistent link: https://www.econbiz.de/10012465911
In this paper we present the results from a "corruption game" (a dictator game modified so that the second player can accept a side payment that reduces the overall size of the pie). Dictators (silently) treated to have the possibility of taking a larger proportion of the recipient's tokens,...
Persistent link: https://www.econbiz.de/10012462011
We present a dynamic quantity setting game, where players may continuously adjust their quantity targets, but incur convex adjustment costs when they do so. These costs allow players to use quantity targets as a partial commitment device. We show that the equilibrium path of such a game is...
Persistent link: https://www.econbiz.de/10012466713
Climate change is considered as one of the major global challenges. Although countries past and future contributions to the accumulation of greenhouse gases in the atmosphere are different, all countries are affected, but not necessarily in the same way (e.g. rising sea levels). This is the...
Persistent link: https://www.econbiz.de/10012453114
Two potentially asymmetric players compete for a prize of common value, which is initially unknown, by exerting efforts. A designer has two instruments for contest design. First, she decides whether and how to disclose an informative signal of the prize value to players. Second, she sets the...
Persistent link: https://www.econbiz.de/10014247957
A menu description presents a mechanism to player i in two steps. Step (1) uses the reports of other players to describe i's menu: the set of i's potential outcomes. Step (2) uses i's report to select i's favorite outcome from her menu. Can menu descriptions better expose strategyproofness,...
Persistent link: https://www.econbiz.de/10014322893
This paper introduces a simulation algorithm for evaluating the log-likelihood function of a large supermodular binary-action game. Covered examples include (certain types of) peer effect, technology adoption, strategic network formation, and multi-market entry games. More generally, the...
Persistent link: https://www.econbiz.de/10014322897