In this paper, we analyze sequential bankruptcy problems, which generalize bankruptcy problems. They contain the problems of sharing water in a trans-boundary river and of allocating expedition rewards in projects. We provide three mechanisms for generalizing rules for bankruptcy problems to...

This paper analyzes reputational bargaining between two parties who can strategically send an ultimatum to resolve the conflict by law. Each party is either a justified player who is inflexible about demand and resolves the conflict by law whenever possible, or an unjustified player who is...

This paper is the first systematic examination of (counter)terrorism dynamic games with two types of externalities: temporal and spatial. We consider two types of non-cooperative behavior; one in which national authorities are sensitive with respect to the spatial spillovers of counterterror...

We propose and experimentally test a mechanism for a class of principal-agent problems in which agents can observe each others' efforts. In this mechanism each player costlessly assigns a share of the pie to each of the other players, after observing their contributions, and the final...

Communication has been regarded as one of the most effective devices in promoting team cooperation. But asymmetric communication sometimes breeds collusion and is detrimental to team efficiency. Here, we present experimental evidence showing that excluding one member from team communication...

In the Ultimatum Game (UG) one player, named “proposer”, has to decide how to allocate a certain amount of money between herself and a “responder”. If the offer is greater than or equal to the responder’s minimum acceptable offer (MAO), then the money is split as proposed, otherwise,...

This is the third part of a comprehensive essay on the Rawlsian view of corporate social responsibility (CSR) seen a multi-stakeholder fiduciary model of corporate governance (see part I). A game theoretical model of the interplay between the owner (who controls the firm) and all the remaining...