Advanced Search
MyIDEAS: Login to save this article or follow this journal

Finite Horizon Bargaining and the Consistent Field

Contents:

Author Info

  • Gomes, Armando
  • Hart, Sergiu
  • Mas-Colell, Andreu

Abstract

This paper explores the relationships between noncooperative bargaining games and the consistent value for non-transferable utility (NTU) cooperative games. A dynamic approach to the consistent value for NTU games is introduced: the consistent vector field. The main contribution of the paper is to show that the consistent field is intimately related to the concept of subgame perfection for finite horizon noncooperative bargaining games, as the horizon goes to infinity and the cost of delay goes to zero. The solutions of the dynamic system associated to the consistent field characterize the subgame perfect equilibrium payoffs of the noncooperative bargaining games. We show that for transferable utility, hyperplane and pure bargaining games, the dynamics of the consistent field converge globally to the unique consistent value. However, in the general NTU case, the dynamics of the consistent field can be complex. An example is constructed where the consistent field has cyclic solutions; moreover, the finite horizon subgame perfect equilibria do not approach the consistent value. Journal of Economic Literature Classification Numbers: C71, C72.

(This abstract was borrowed from another version of this item.)

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.sciencedirect.com/science/article/B6WFW-45JC96N-3/2/e1fdd579951cc3ba170799a0ba317968
Download Restriction: Full text for ScienceDirect subscribers only

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Elsevier in its journal Games and Economic Behavior.

Volume (Year): 27 (1999)
Issue (Month): 2 (May)
Pages: 204-228

as in new window
Handle: RePEc:eee:gamebe:v:27:y:1999:i:2:p:204-228

Contact details of provider:
Web page: http://www.elsevier.com/locate/inca/622836

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Oliver Hart & John Moore, 1988. "Property Rights and the Nature of the Firm," Working papers 495, Massachusetts Institute of Technology (MIT), Department of Economics.
  2. Maschler,Michael Owen,Guillermo & Peleg,Bezalel, 1987. "Paths leadings to the Nash set," Discussion Paper Serie A 135, University of Bonn, Germany.
  3. Hart, Sergiu & Mas-Colell, Andreu, 1996. "Bargaining and Value," Econometrica, Econometric Society, vol. 64(2), pages 357-80, March.
  4. Martin J. Osborne & Ariel Rubinstein, 2005. "Bargaining and Markets," Levine's Bibliography 666156000000000515, UCLA Department of Economics.
  5. Sjostrom, Tomas, 1991. "Stahl's bargaining model," Economics Letters, Elsevier, vol. 36(2), pages 153-157, June.
  6. Maschler, M & Owen, G, 1989. "The Consistent Shapley Value for Hyperplane Games," International Journal of Game Theory, Springer, vol. 18(4), pages 389-407.
  7. Hart, Sergiu & Mas-Colell, Andreu, 1996. "Harsanyi Values of Large Economies: Nonequivalence to Competitive Equilibria," Games and Economic Behavior, Elsevier, vol. 13(1), pages 74-99, March.
  8. Hart, Sergiu & Mas-Colell, Andreu, 1989. "Potential, Value, and Consistency," Econometrica, Econometric Society, vol. 57(3), pages 589-614, May.
  9. Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
  10. Winter, Eyal, 1994. "The Demand Commitment Bargaining and Snowballing Cooperation," Economic Theory, Springer, vol. 4(2), pages 255-73, March.
  11. Gul, Faruk, 1989. "Bargaining Foundations of Shapley Value," Econometrica, Econometric Society, vol. 57(1), pages 81-95, January.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Joan Mª Esteban & József Sákovics, 2005. "A Theory of Agreements in the Shadow of Conflict," Working Papers 255, Barcelona Graduate School of Economics.
  2. Armando Gomes, . "A Theory of Negotiation and Formation of Coalition," CARESS Working Papres 99-12, University of Pennsylvania Center for Analytic Research and Economics in the Social Sciences.
  3. Barbera, Salvador & Perea, Andres, 2002. "Supporting others and the evolution of influence," Journal of Economic Dynamics and Control, Elsevier, vol. 26(12), pages 2051-2092, October.
  4. de Clippel, Geoffroy, 2007. "The procedural value for cooperative games with non-transferable utility," Mathematical Social Sciences, Elsevier, vol. 53(1), pages 46-52, January.
  5. Haruo Imai & Hannu Salonen, 2012. "A characterization of a limit solution for finite horizon bargaining problems," International Journal of Game Theory, Springer, vol. 41(3), pages 603-622, August.
  6. Emililo Calvo, 2004. "Single NTU-value solutions," Game Theory and Information 0405004, EconWPA, revised 10 Jun 2004.
  7. Armo Gomes, . "A Theory of Negotiation and Formation of Coalition," Penn CARESS Working Papers f0f956747161c96ffb6e79d05, Penn Economics Department.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:eee:gamebe:v:27:y:1999:i:2:p:204-228. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.