Inner Core, Asymmetric Nash Bargaining Solutions and Competitive Payoffs
We investigate the relationship between the inner core and asymmetric Nash bargaining solutions for n-person bargaining games with complete information. We show that the set of asymmetric Nash bargaining solutions for different strictly positive vectors of weights coincides with the inner core if all points in the underlying bargaining set are strictly positive. Furthermore, we prove that every bargaining game is a market game. By using the results of Qin (1993) we conclude that for every possible vector of weights of the asymmetric Nash bargaining solution there exists an economy that has this asymmetric Nash bargaining solution as its unique competitive payoff vector. We relate the literature of Trockel (1996, 2005) with the ideas of Qin (1993). Our result can be seen as a market foundation for every asymmetric Nash bargaining solution in analogy to the results on non-cooperative foundations of cooperative games.
|Date of creation:||Aug 2011|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://www.imw.uni-bielefeld.de/
More information through EDIRC
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.:
- Olivier Compte & Philippe Jehiel, 2008.
"The Coalitional Nash Bargaining Solution,"
122247000000001852, UCLA Department of Economics.
- DE CLIPPEL, Geoffroy & MINELLI, Enrico, 2002.
"Two remarks on the inner core,"
CORE Discussion Papers
2002001, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Nash, John, 1953. "Two-Person Cooperative Games," Econometrica, Econometric Society, vol. 21(1), pages 128-140, April.
- Walter Trockel, .
"Core-Equivalence for the Nash Bargaining Solution,"
03-21, University of Copenhagen. Department of Economics.
- Sun, Ning & Trockel, Walter & Yang, Zaifu, 2008.
"Competitive outcomes and endogenous coalition formation in an n-person game,"
Journal of Mathematical Economics,
Elsevier, vol. 44(7-8), pages 853-860, July.
- Sun,N. & Trockel,W. & Yang,Z., 2004. "Competitive outcomes and endogenous coalition formation in an n-person game," Working Papers 358, Bielefeld University, Center for Mathematical Economics.
- Sonja Brangewitz & Jan-Philip Gamp, 2011. "Competitive Outcomes and the Core of TU Market Games," Working Papers 454, Bielefeld University, Center for Mathematical Economics.
- Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
- Trockel, Walter, 1996. "A Walrasian approach to bargaining games," Economics Letters, Elsevier, vol. 51(3), pages 295-301, June.
- Sonja Brangewitz & Jan-Philip Gamp, 2011. "Competitive Outcomes and the Inner Core of NTU Market Games," Working Papers 449, Bielefeld University, Center for Mathematical Economics.
- Qin Cheng-Zhong, 1994. "The Inner Core of an n-Person Game," Games and Economic Behavior, Elsevier, vol. 6(3), pages 431-444, May.
- Walter Trockel, 2000. "Implementations of the Nash solution based on its Walrasian characterization," Economic Theory, Springer, vol. 16(2), pages 277-294.
- Shapley, Lloyd S. & Shubik, Martin, 1969. "On market games," Journal of Economic Theory, Elsevier, vol. 1(1), pages 9-25, June.
When requesting a correction, please mention this item's handle: RePEc:bie:wpaper:453. 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: (Dr. Frederik Herzberg)
If references are entirely missing, you can add them using this form.