We introduce externalities into a two-sided, one-to-one assignment game by letting the values generated by pairs depend … that a stable outcome in an assignment game with externalities always exists if and only if all pairs are pessimistic …

This paper studies infinite-horizon bargaining between a seller and multiple buyers when externalities are present. We … externalities. Since each buyer receives a positive payoff when the seller makes an agreement with some other buyer, positive … externalities induce a war of attrition between buyers. …

We incorporate externalities into the stable matching theory of two-sided markets. Extending the classical substitutes … condition to markets with externalities, we establish that stable matchings exist when agent choices satisfy substitutability … externalities even though the standard fixed-point techniques do not apply. …

unit case, we show that the equilibrium coalition structure can only be an order preserving r-ring, that includes the … class of equilibrium coalition structures, which we call single winner ring with free riding, where exactly one winner …

This chapter surveys the sizable and growing literature on coalition formation. We refer to theories in which one or … coalition, in this chapter, is that of a group which can coordinate agreements among its members, while it interacts … coalition formation in economic, political and social analysis. Ray (2007) gives several examples in which such a framework …