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Bargaining with an Agenda

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Author Info
Barry O'Neill
Dov Samet
Zvi Wiener
Eyal Winter ()

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Abstract

Gradual bargaining is represented by an agenda: a family of increasing sets of joint utilities, parameterized by time. A solution for gradual bargaining specifies an agreement at each time. We axiomatize an ordinal solution, i.e., one that is covariant with order-preserving transformations of utility. It can be viewed as the limit of a step-by-step bargaining in which the agreement of the last negotiation becomes the disagreement point for the next. The stepwise agreements may follow the Nash solution, the Kalai-Smorodinsky solution or many others.

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Publisher Info
Paper provided by Center for Rationality and Interactive Decision Theory, Hebrew University, Jerusalem in its series Discussion Paper Series with number dp315.

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Length: 19 pages
Date of creation: Mar 2002
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Publication status: Published in Games and Economic Behavior, 2004, vol. 48, pp. 139-153.
Handle: RePEc:huj:dispap:dp315

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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.:
  1. Clara Ponsati & Joel Watson, 1994. "Multiple-Issue Bargaining and Axiomatic Solutions," University of California at San Diego, Economics Working Paper Series 94-14, Department of Economics, UC San Diego.
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  2. Sprumont, Yves, 1998. "Ordinal Cost Sharing," Journal of Economic Theory, Elsevier, vol. 81(1), pages 126-162, July. [Downloadable!] (restricted)
  3. Lin Zhou, 1997. "The Nash Bargaining Theory with Non-Convex Problems," Econometrica, Econometric Society, vol. 65(3), pages 681-686, May.
  4. Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April. [Downloadable!] (restricted)
  5. Maschler,Michael Owen,Guillermo & Peleg,Bezalel, 1987. "Paths leadings to the Nash set," Discussion Paper Serie A 135, University of Bonn, Germany.
  6. Kalai, Ehud & Smorodinsky, Meir, 1975. "Other Solutions to Nash's Bargaining Problem," Econometrica, Econometric Society, vol. 43(3), pages 513-18, May. [Downloadable!] (restricted)
  7. Winter, Eyal, 1997. "Negotiations in multi-issue committees," Journal of Public Economics, Elsevier, vol. 65(3), pages 323-342, September. [Downloadable!] (restricted)
  8. Thomson, William, 1994. "Cooperative models of bargaining," Handbook of Game Theory with Economic Applications, in: R.J. Aumann & S. Hart (ed.), Handbook of Game Theory with Economic Applications, edition 1, volume 2, chapter 35, pages 1237-1284 Elsevier. [Downloadable!] (restricted)
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  9. Fershtman, Chaim, 1990. "The importance of the agenda in bargaining," Games and Economic Behavior, Elsevier, vol. 2(3), pages 224-238, September. [Downloadable!] (restricted)
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  10. Kalai, Ehud, 1977. "Proportional Solutions to Bargaining Situations: Interpersonal Utility Comparisons," Econometrica, Econometric Society, vol. 45(7), pages 1623-30, October. [Downloadable!] (restricted)
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  11. Seidmann, Daniel J & Winter, Eyal, 1998. "A Theory of Gradual Coalition Formation," Review of Economic Studies, Blackwell Publishing, vol. 65(4), pages 793-815, October. [Downloadable!] (restricted)
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Cited by:
(explanations, 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.)

  1. David Pérez-Castrillo & David Wettstein, 2003. "An Ordinal Shapley Value for Economic Environments," UFAE and IAE Working Papers 560.03, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC). [Downloadable!]
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  2. Joan Esteban & Jozsef Sakovics, 2005. "A theory of agreements in the shadow of conflict," ESE Discussion Papers 139, Edinburgh School of Economics, University of Edinburgh. [Downloadable!]
  3. Julian Arevalo, 2004. "Gradual Nash bargaining with endogenous agenda. A path-dependent model," Colombian Economic Journal, Academia Colombiana de Ciencias Economicas, Colegio Mayor de Nuestra Senora del Rosario, Pontificia Universidad Javeriana, Universidad de Antioquia, Universidad de los Andes, Universidad del Valle, Un, vol. 2(1), pages 189-212, November. [Downloadable!]
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  4. Julián Arévalo, 2004. "Negociación Nash Gradual con Agenda Endógena: Un Modelo Trayectoria-Dependiente," Game Theory and Information 0407001, EconWPA. [Downloadable!]
  5. Aviad Heifetz & Clara Ponsati, 2007. "All in good time," International Journal of Game Theory, Springer, vol. 35(4), pages 521-538, April. [Downloadable!] (restricted)
  6. Geoffroy de Clippel & Camelia Bejan, 2009. "No Profitable Decomposition in Quasi-Linear Allocation Problems," Working Papers 2009-6, Brown University, Department of Economics. [Downloadable!]
  7. Joan Esteban & József Sákovics, 2008. "A Theory of Agreements in the Shadow of Conflict: The Genesis of Bargaining Power," Theory and Decision, Springer, vol. 65(3), pages 227-252, November. [Downloadable!] (restricted)
  8. Zvi Safra & Dov Samet, 2003. "An ordinal solution to bargaining problems with many players," Game Theory and Information 0310002, EconWPA. [Downloadable!]
  9. Amparo Mármol & Clara Ponsatí, 2008. "Bargaining over multiple issues with maximin and leximin preferences," Social Choice and Welfare, Springer, vol. 30(2), pages 211-223, February. [Downloadable!] (restricted)
  10. Guillaume Rocheteau & Christopher Waller, 2005. "Bargaining and the value of money," Working Paper 0501, Federal Reserve Bank of Cleveland. [Downloadable!]
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