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A conjectural cooperative equilibrium for strategic form games

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  • Currarini, Sergio
  • Marini, Marco

Abstract

This paper presents a new cooperative equilibrium for strategic form games, denoted Conjectural Cooperative Equilibrium (CCE). This concept is based on the expectation that joint deviations from any strategy profile are followed by an optimal and noncooperative reaction of non deviators. We show that CCE exist for all symmetric supermodular games. Furthermore, we discuss the existence of a CCE in specific submodular games employed in the literature on environmental agreements.

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File URL: http://mpra.ub.uni-muenchen.de/33384/
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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 33384.

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Date of creation: Dec 2002
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Handle: RePEc:pra:mprapa:33384

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Keywords: Strong Nash Equilibrium; Cooperative Games; Public Goods;

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References

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  1. Carraro,Carlo & Siniscalco,Domenico (ed.), 1997. "New Directions in the Economic Theory of the Environment," Cambridge Books, Cambridge University Press, Cambridge University Press, number 9780521590891.
  2. Bulow, Jeremy I & Geanakoplos, John D & Klemperer, Paul D, 1985. "Multimarket Oligopoly: Strategic Substitutes and Complements," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 93(3), pages 488-511, June.
  3. Yi, Sang-Seung, 1997. "Stable Coalition Structures with Externalities," Games and Economic Behavior, Elsevier, Elsevier, vol. 20(2), pages 201-237, August.
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Cited by:
  1. Marco Marini & Sergio Currarini, 2004. "Coalition Formation in Games without Synergies," Working Papers, Fondazione Eni Enrico Mattei 2004.43, Fondazione Eni Enrico Mattei.
  2. Marco Marini & Giorgio Rodano, 2012. "Sequential vs Collusive Payoffs in Symmetric Duopoly Games," DIAG Technical Reports 2012-06, Department of Computer, Control and Management Engineering, Universita' degli Studi di Roma "La Sapienza".
  3. Marco Marini & Maria Luisa Petit & Roberta Sestini, 2012. "Strategic Timing in R&D Agreements," DIAG Technical Reports 2012-07, Department of Computer, Control and Management Engineering, Universita' degli Studi di Roma "La Sapienza".
  4. Sergio Currarini & Marco A. Marini, 2013. "Coalitional Approaches to Collusive Agreements in Oligopoly Games," DIAG Technical Reports 2013-15, Department of Computer, Control and Management Engineering, Universita' degli Studi di Roma "La Sapienza".
  5. Marco Marini & Giorgio Rodano, 2011. "Lead, Follow or Cooperate? Endogenous Timing & Cooperation in Symmetric Duopoly Games," Working Papers, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini 1112, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2011.

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