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A simple sufficient condition for strong implementation

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  • Korpela, Ville

Abstract

In an important step forward Maskin [E. Maskin, Nash equilibrium and welfare optimality, Rev. Econ. Stud. 66 (1999) 23–38] showed that two properties – monotonicity and no veto power – are together sufficient for Nash implementation. In contrast to the vast literature that followed, this characterization has two major advantages: First, it is often easy to verify, and second, it has an elegant and simple interpretation. However, there does not exist a similar condition for social choice correspondences that are implementable in strong equilibrium. All existing characterizations are either hard to verify or apply only to comprehensive preference domains. In this paper we improve the situation by giving one such condition. Moreover, using well-known examples we show that this is a practical tool.

Suggested Citation

  • Korpela, Ville, 2013. "A simple sufficient condition for strong implementation," Journal of Economic Theory, Elsevier, vol. 148(5), pages 2183-2193.
  • Handle: RePEc:eee:jetheo:v:148:y:2013:i:5:p:2183-2193
    DOI: 10.1016/j.jet.2013.04.013
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    References listed on IDEAS

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    1. Dutta, Bhaskar & Sen, Arunava, 1991. "Implementation under strong equilibrium : A complete characterization," Journal of Mathematical Economics, Elsevier, vol. 20(1), pages 49-67.
    2. Moulin, H. & Peleg, B., 1982. "Cores of effectivity functions and implementation theory," Journal of Mathematical Economics, Elsevier, vol. 10(1), pages 115-145, June.
    3. Korpela, Ville, 2010. "Nash implementation theory -- A note on full characterizations," Economics Letters, Elsevier, vol. 108(3), pages 283-285, September.
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    9. Suh, Sang-Chul, 1996. "Implementation with coalition formation: A complete characterization," Journal of Mathematical Economics, Elsevier, vol. 26(4), pages 409-428.
    10. HOLZMAN, Ron, 1987. "Sub-core solutions of the problem of strong implementation," LIDAM Reprints CORE 812, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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    12. Tayfun Sönmez & Tarik Kara, 1997. "Implementation of college admission rules (*)," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 9(2), pages 197-218.
    13. repec:dau:papers:123456789/13220 is not listed on IDEAS
    14. Moore, John & Repullo, Rafael, 1990. "Nash Implementation: A Full Characterization," Econometrica, Econometric Society, vol. 58(5), pages 1083-1099, September.
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    Cited by:

    1. Guo, Huiyi & Yannelis, Nicholas C., 2022. "Robust coalitional implementation," Games and Economic Behavior, Elsevier, vol. 132(C), pages 553-575.
    2. Korpela, Ville & Lombardi, Michele & Vartiainen, Hannu, 2020. "Do coalitions matter in designing institutions?," Journal of Economic Theory, Elsevier, vol. 185(C).
    3. T. Hayashi & R. Jain & V. Korpela & M. Lombardi, 2023. "Behavioral strong implementation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 76(4), pages 1257-1287, November.
    4. Savva, Foivos, 2018. "Strong implementation with partially honest individuals," Journal of Mathematical Economics, Elsevier, vol. 78(C), pages 27-34.
    5. Jianxin Yi, 2021. "Nash implementation via mechanisms that allow for abstentions," Theory and Decision, Springer, vol. 91(2), pages 279-288, September.

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    More about this item

    Keywords

    Implementation; Matching rule; Sufficient condition; Strong equilibrium;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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