We propose a new cost allocation rule for minimum cost spanning tree games. The new rule is a core selection and also satis…es cost monotonicity. We also give characterization theorems for the new rule as well as the much-studied Bird allocation. We show that the principal di¤erence between...

This paper models interaction between groups of agents by means of a graph where each node represents a group of agents and an arc represents bilateral interaction. It departs from the standard Katz-Shapiro framework by assuming that network benefits are restricted only amongst groups of linked...

We study the relationship between bargaining and competition with incomplete information. We consider a model with two uninformed and identical buyers and two sellers. One of the sellers has a privately-known reservation price, which can either be Low or High. The other seller’s reservation...

In this paper, we analyze the cost allocation problem when a group of agents or nodes have to be connected to a source, and where the cost matrix describing the cost of connecting each pair of agents is not necessarily symmetric, thus extending the well-studied problem of minimum cost spanning...

We develop a definition of equilibrium for agenda formation in general voting settings. The definition is independent of any protocol. We show that the set of equilibrium outcomes for any Pareto efficient voting rule is uniquely determined. We also show that for such voting rules, if preferences...

Some studies on child labor have shown that, at the level of the household, greater land wealth leads to higher child labor, thereby casting doubt on the hypothesis that child labor is caused by poverty. This paper argues that the missing ingredient may be an explicit modeling of the labor...

A long tradition in welfare economics and moral philosophy, dating back at least to Sidgwick(1907) is the idea that all generations must be treated alike. Perhaps, the most forceful assertion of this idea comes from Ramsey (1928) who declared that any argument for preferring one generation over...

This paper studies a model of diffusion in a fixed, finite connected network. There is an interested party that knows the quality of the product or idea being propagated and chooses an implant in the network to influence other agents to buy or adopt. Agents are either “innovators”, who adopt...

We investigate the problem of Nash implementation in the presence of "partially honest" individuals. A partially honest player is one who has a strict preference for revealing the true state over lying when truthtelling does not lead to a worse outcome (according to preferences in the true...