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A Note on Bargaining over Complementary Pieces of Information in Networks

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  • Kaniska Dam

    ()
    (Division of Economics, CIDE)

  • Antonio Jiménez-Martínez

    ()
    (Division of Economics, CIDE)

Abstract

We consider two specific network structures, the star and the line, and study the set of bilateral alternating-offers bargaining procedures for the pairs of connected agents. Agents have complementary information and bargain over the relative price of their pieces of information. We characterize the unique subgame perfect equilibrium outcome for each of these network structures.

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Bibliographic Info

Paper provided by CIDE, División de Economía in its series Working papers with number DTE 504.

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Length: 19 pages
Date of creation: Apr 2011
Date of revision:
Handle: RePEc:emc:wpaper:dte504

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Keywords: Bargaining; Information; Networks;

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  1. Rubinstein, Ariel, 1982. "Perfect Equilibrium in a Bargaining Model," Econometrica, Econometric Society, vol. 50(1), pages 97-109, January.
  2. Corominas-Bosch, Margarida, 2004. "Bargaining in a network of buyers and sellers," Journal of Economic Theory, Elsevier, vol. 115(1), pages 35-77, March.
  3. Polanski, Arnold, 2007. "A decentralized model of information pricing in networks," Journal of Economic Theory, Elsevier, vol. 136(1), pages 497-512, September.
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