We study a model of multilateral bargaining over social outcomes represented by the points in the unit interval. The acceptance or rejection of a proposal is determined by an acceptance rule represented by the collection of decisive coalitions. The focus of the paper is on the asymptotic behavior of subgame perfect equilibria in stationary strategies as the players become infinitely patient. We show that, along any sequence of stationary subgame perfect equilibria the social acceptance set collapses to a point. This point, called the limit of bargaining equilibria, is independent of the sequence of equilibria and is uniquely determined by the set of players, the utility functions, the recognition probabilities, and the acceptance rule. The central result of the paper is a characterization of the limit of bargaining equilibria as a unique zero of the characteristic equation.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
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.:
- Hart, Sergiu & Mas-Colell, Andreu, 1996.
"Bargaining and Value,"
Econometric Society, vol. 64(2), pages 357-80, March.
- Eraslan, H. & Merlo, A., 2000.
"Majority Rule in a Stochastic Model of Bargaining,"
00-05, C.V. Starr Center for Applied Economics, New York University.
- Predtetchinski Arkadi, 2010. "One-dimensional bargaining: a revision," Research Memorandum 031, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
- Philippe Jehiel & Oliver Compte, 2007.
"Bargaining and Majority Rules: A Collective Search Perspective,"
843644000000000131, UCLA Department of Economics.
- Olivier Compte & Philippe Jehiel, 2010. "Bargaining and Majority Rules: A Collective Search Perspective," Journal of Political Economy, University of Chicago Press, vol. 118(2), pages 189-221, 04.
- Olivier Compte & Philippe Jehiel, 2010. "Bargaining and Majority Rules: A collective search Perspective," Post-Print halshs-00754459, HAL.
- Herings, P. Jean-Jacques & Predtetchinski, Arkadi, 2007.
"One-dimensional Bargaining with Markov Recognition Probabilities,"
044, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
- Herings, P. Jean-Jacques & Predtetchinski, Arkadi, 2010. "One-dimensional bargaining with Markov recognition probabilities," Journal of Economic Theory, Elsevier, vol. 145(1), pages 189-215, January.
- Merlo, Antonio & Wilson, Charles A, 1995. "A Stochastic Model of Sequential Bargaining with Complete Information," Econometrica, Econometric Society, vol. 63(2), pages 371-99, March.
- Seok-ju Cho & John Duggan, 2001.
"Uniqueness of Stationary Equilibria in a one-Dimensional Model of Bargaining,"
Wallis Working Papers
WP23, University of Rochester - Wallis Institute of Political Economy.
- Cho, Seok-ju & Duggan, John, 2003. "Uniqueness of stationary equilibria in a one-dimensional model of bargaining," Journal of Economic Theory, Elsevier, vol. 113(1), pages 118-130, November.
- Cardona, Daniel & Ponsati, Clara, 2007. "Bargaining one-dimensional social choices," Journal of Economic Theory, Elsevier, vol. 137(1), pages 627-651, November.
- Britz, Volker & Herings, P. Jean-Jacques & Predtetchinski, Arkadi, 2010.
"Non-cooperative support for the asymmetric Nash bargaining solution,"
Journal of Economic Theory,
Elsevier, vol. 145(5), pages 1951-1967, September.
- Britz Volker & Herings P. Jean-Jacques & Predtetchinski Arkadi, 2008. "Non-cooperative Support for the Asymmetric Nash Bargaining solution," Research Memorandum 018, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
- Imai, Haruo & Salonen, Hannu, 2000. "The representative Nash solution for two-sided bargaining problems," Mathematical Social Sciences, Elsevier, vol. 39(3), pages 349-365, May.
- Tasos Kalandrakis, 2006.
"Regularity of pure strategy equilibrium points in a class of bargaining games,"
Springer, vol. 28(2), pages 309-329, 06.
- Tasos Kalandrakis, 2004. "Regularity of Pure Strategy Equilibrium Points in a Class of Bargaining Games," Wallis Working Papers WP37, University of Rochester - Wallis Institute of Political Economy.
When requesting a correction, please mention this item's handle: RePEc:eee:gamebe:v:72:y:2011:i:2:p:526-543. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.