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are no transaction costs, the outcome of this matching and bargaining game should be the unique competitive equilibrium … equilibrium that survives is the unique competitive outcome. This will be done both for the random matching and for the voluntary … matching models. Thus the paper demonstrates that complexity costs might have a role in providing a justification for the …
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The Nash bargaining solution of a modified bargaining problem in the contract space yields the pair of stationary subgame perfect equilibrium proposals in the alternating offers model, also for positive time between proposals. As time vanishes, convergence to the Nash bargaining solution is...
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The paper studies information processing imperfections in a fully rational decision-making network. It is shown that imperfect information transmission and imperfect information acquisition in a multi-stage selection game yield information overload. The paper analyses the mechanisms responsible...
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