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A Mechanism for Inducing Cooperation in Non-Cooperative Environments: Theory and Applications

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Author Info

  • Christopher J. Ellis

    ()
    (University of Oregon Economics Department)

  • Anne van den Nouweland

    ()
    (University of Oregon Economics Department)

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    Abstract

    We construct a market based mechanism that induces players in a non-cooperative game to make the same choices as characterize cooperation. We then argue that this mechanism is applicable to a wide range of economic questions and illustrate this claim using the problems of "The Tragedy of the Commons" and "R&D Spillovers in Duopoly".

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    File URL: http://economics.uoregon.edu/papers/UO-2000-2_Ellis_Coop_Mechanism.pdf
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    Bibliographic Info

    Paper provided by University of Oregon Economics Department in its series University of Oregon Economics Department Working Papers with number 2000-2.

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    Length: 27
    Date of creation: 01 Feb 2000
    Date of revision: 01 Feb 2000
    Handle: RePEc:ore:uoecwp:2000-2

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    Web page: http://economics.uoregon.edu/
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    Related research

    Keywords: Cooperation; Externalities; Spillovers; Efficiency.;

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