Joint Production Games with Mixed Sharing Rules
AbstractWe study joint production games under a mixed sharing rule in which part of the ouput (the mixing parameter) is shared in proportion to inputs and the rest according to exogenously determined shares. We show that this game has a unique Nash equilibrium and discuss comparative statics. When the game is large, we show that players unanimously prefer the same value of the mixing parameter: the equilibrium elasticity of production. At this value, the equilibrium allocation is fully efficient. Our approach heavily exploits the fact that payoffs depend only on a player's input and the aggregate input.
Download InfoIf 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.
Bibliographic InfoPaper provided by Royal Economic Society in its series Royal Economic Society Annual Conference 2003 with number 99.
Date of creation: 04 Jun 2003
Date of revision:
Contact details of provider:
Postal: Office of the Secretary-General, School of Economics and Finance, University of St. Andrews, St. Andrews, Fife, KY16 9AL, UK
Phone: +44 1334 462479
Web page: http://www.res.org.uk/society/annualconf.asp
More information through EDIRC
production externalities; non-cooperative games;
Other versions of this item:
- Richard Cornes & Roger Hartley, 2002. "Joint Production Games with Mixed Sharing Rules," Keele Economics Research Papers KERP 2002/16, Centre for Economic Research, Keele University.
- Richard Cornes & Roger Hartley, 2002. "Joint Production Games with Mixed Sharing Rules," Game Theory and Information 0211003, EconWPA.
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
- H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-06-16 (All new papers)
- NEP-GTH-2003-06-16 (Game Theory)
- NEP-PBE-2003-06-16 (Public Economics)
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Richard Cornes & Roger Hartley, 2009.
"Fully Aggregative Games,"
ANU Working Papers in Economics and Econometrics
2009-505, Australian National University, College of Business and Economics, School of Economics.
- Dickson, Alex & Hartley, Roger, 2008.
"The strategic Marshallian cross,"
Games and Economic Behavior,
Elsevier, vol. 64(2), pages 514-532, November.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum).
If references are entirely missing, you can add them using this form.