IDEAS home Printed from https://ideas.repec.org/a/spr/reecde/v8y2004i4p449-464.html
   My bibliography  Save this article

Bargaining power in stationary parallelogram games

Author

Listed:
  • Bart Taub

    ()

  • Özgür Kibris

    ()

Abstract

A stationary variant of the repeated prisoners’ dilemma in which the game frontier is a parallelogram is analyzed. By using the probabilistic cheap talk concept of [3], the discount factor becomes fungible, and for a critical value of the discount factor a unique Pareto-optimal and Pareto-dominant solution can be found. The relative bargaining power of the players can be quantified in terms of the shape of the parallelogram. If the parallelogram is asymmetric, the solution results in an asymmetric allocation of payoffs. Players with more bargaining power receive a greater share of the allocation. The solution satisfies some standard bargaining axioms within the class of parallelogram games. A characterization is provided in terms of these axioms and one new axiom, weak-monotonicity, which is in the spirit of, but different from, the Kalai-Smorodinsky restricted-monotonicity axiom. Copyright Springer-Verlag Berlin/Heidelberg 2004

Suggested Citation

  • Bart Taub & Özgür Kibris, 2004. "Bargaining power in stationary parallelogram games," Review of Economic Design, Springer;Society for Economic Design, vol. 8(4), pages 449-464, April.
  • Handle: RePEc:spr:reecde:v:8:y:2004:i:4:p:449-464
    DOI: 10.1007/s10058-004-0114-6
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s10058-004-0114-6
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:reecde:v:8:y:2004:i:4:p:449-464. 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: (Sonal Shukla) or (Rebekah McClure). General contact details of provider: http://www.springer.com .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.