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This paper establishes sufficient conditions for the existence of a stable coalition structure in the "coalition … unanimity" game of coalition formation, first defined by Hart and Kurz (1983) and more recently studied by Yi (1997, 2000). Our … conditions are defined on the strategic form game used to derive the payoffs the game of coalition formation. We show that if no …
Persistent link: https://www.econbiz.de/10011324923
schemes in order to influence the government's choice on the level of provision of public goods. Using perfectly coalition …
Persistent link: https://www.econbiz.de/10010270938
The mainstream model of option pricing is based on an exogenously given process of price movements. The implication of this assumption is that price movements are not affected by actions of market participants. However, if we assume that there are indeed impacts on the price movements it no...
Persistent link: https://www.econbiz.de/10010301361
We investigate the computational complexity of several decision problems in hedonic coalition formation games and … either core stability or strict core stability is under consideration, the existence problem of a stable coalition structure … stable coalition structure and of an individually stable coalition structure turn out to be NP-complete in the strong sense. …
Persistent link: https://www.econbiz.de/10010427536
In this paper we study hedonic games where each player views every other player either as a friend or as an enemy. Two simple priority criteria for comparison of coalitions are suggested, and the corresponding preference restrictions based on appreciation of friends and aversion to enemies are...
Persistent link: https://www.econbiz.de/10011324926
We adopt the largest consistent set defined by Chwe [J. of Econ. Theory 63 (1994), 299-235] to predict which coalition …, based on the assumption that players are cautious. For games with positive spillovers, many coalition structures may belong … to the largest consistent set. The grand coalition, which is the efficient coalition structure, always belongs to the …
Persistent link: https://www.econbiz.de/10011325075
We analyze with an integrated assessment model of climate change the formation of interna-tional environmental agreements (IEAs) by applying the widely used concept of inter-nal & external stability and several modifications of it. We relax the assumptions of a single agreement and open...
Persistent link: https://www.econbiz.de/10011325122
the efficient coalition structure is stable in terms of the coalition formation theory. It is assumed that coalitions can … coalitions) and a coalition may deviate if and only if it stands to gain from it. It is then shown that subsequent to a deviation … by a coalition, the nonmembers will have incentives to break apart into singletons, as is assumed in the definition of …
Persistent link: https://www.econbiz.de/10011325128
models of coalition formation:• Fallback (FB): Players seek coalition partners by descending lower and lower in their … preference rankings until a majority coalition forms.• Build-Up (BU): Similar to FB, except that when nonmajority subcoalitions … convergence process.FB better reflects the unconstrained, or nonmyopic, possibilities of coalition formation, whereas BU …
Persistent link: https://www.econbiz.de/10011335684
In this paper, we analyze coordination of macroeconomic stabilization policies within the EMU by focusing, in a dynamic set-up, on asymmetries, externalities, and the existence of a multi-country context. We study how coalitions among fiscal and monetary authorities are formed and what are their...
Persistent link: https://www.econbiz.de/10011335731