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One-deviation principle in coalition formation

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Author Info
Hannu Vartiainen () (Department of Economics, Turku School of Economics)

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Abstract

We study coalitional one-deviation principle in a framework a la Chwe (1994). The principle requires that an active coalition or any of its subcoalition will not benefit from a single deviation to a strategy that specifies, for each history of coalitional moves, an active coalition and its move. A strategy meeting the one-deviation property is characterized. Moreover, it is shown to exist. Finally, the results are compared to the existing theories of coalitional games.

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Publisher Info
Paper provided by Aboa Centre for Economics in its series Discussion Papers with number 35.

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Length: 28
Date of creation: Sep 2008
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Handle: RePEc:tkk:dpaper:dp35

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Related research
Keywords: one-deviation principle; coalition formation;

Find related papers by JEL classification:
C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games

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  1. Dutta, Bhaskar & Ray, Debraj & Sengupta, Kunal & Vohra, Rajiv, 1989. "A consistent bargaining set," Journal of Economic Theory, Elsevier, vol. 49(1), pages 93-112, October. [Downloadable!] (restricted)
  2. Diamantoudi, Effrosyni & Xue, Licun, 2007. "Coalitions, agreements and efficiency," Journal of Economic Theory, Elsevier, vol. 136(1), pages 105-125, September. [Downloadable!] (restricted)
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  3. Barbera, Salvador & Gerber, Anke, 2007. "A note on the impossibility of a satisfactory concept of stability for coalition formation games," Economics Letters, Elsevier, vol. 95(1), pages 85-90, April. [Downloadable!] (restricted)
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This page was last updated on 2009-11-10.

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