This paper proposes a formulation of coalitional payoff possibilities in games with externalities, based on the … outside players play their best response noncooperatively, the core is always nonempty when the game has strategic … complementarities. We apply this result to cartel formation in Bertrand oligopoly and in Shapley-Shubik (1977) strategic market games …

-298) is proposed to allow for multiple membership. The definition of the core is adapted analogously and the possibilities for …

This paper studies an extensive form game of coalition formation with random proposers in games with externalities. It … the absence of externalities, and symmetric players are not necessarily treated symmetrically in equilibrium. If the grand … coalition forms without delay in equilibrium, expected payoffs must be in the core of the characteristic function game that …