Bargaining with endogenous disagreement: the extended Kalai-Smorodinsky solution
AbstractFollowing Vartiainen (2007) we consider bargaining problems in which no exogenous disagreement outcome is given. A bargaining solution assigns a pair of outcomes to such a problem, namely a compromise outcome as well as a disagreement outcome: the interpretation is that the latter results if the compromise outcome is not accepted. For this framework we propose and study an extension of the classical Kalai-Smorodinsky bargaining solution. We present a characterization with an axiom of Independence ofNon-Utopia Information as the main condition.
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Bibliographic InfoPaper provided by Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization in its series Research Memoranda with number 008.
Date of creation: 2010
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Web page: http://www.maastrichtuniversity.nl/web/UMPublications.htm
Other versions of this item:
- Bozbay, Irem & Dietrich, Franz & Peters, Hans, 2012. "Bargaining with endogenous disagreement: The extended Kalai–Smorodinsky solution," Games and Economic Behavior, Elsevier, vol. 74(1), pages 407-417.
- C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
- D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances
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