IDEAS home Printed from https://ideas.repec.org/p/ces/ceswps/_3060.html
   My bibliography  Save this paper

A New Approach to Solving Production-Appropriation Games with Many Heterogeneous Players

Author

Listed:
  • Richard Cornes
  • Roger Hartley
  • Yuji Tamura

Abstract

We set out a model of production and appropriation involving many players, who differ with respect to both resource endowments and productivities. We write down the model in a novel way that permits our analysis to avoid the proliferation of dimensions associated with the best response function approach as the number of heterogeneous players increases. We establish existence of a unique equilibrium in pure strategies, and carry out some comparative static exercises.

Suggested Citation

  • Richard Cornes & Roger Hartley & Yuji Tamura, 2010. "A New Approach to Solving Production-Appropriation Games with Many Heterogeneous Players," CESifo Working Paper Series 3060, CESifo.
    • Handle: RePEc:ces:ceswps:_3060
    as

    Download full text from publisher

    File URL: https://www.cesifo.org/DocDL/cesifo1_wp3060.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Richard Cornes & Roger Hartley, 2005. "Asymmetric contests with general technologies," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 26(4), pages 923-946, November.
    2. Skogh, Goran & Stuart, Charles, 1982. " A Contractarian Theory of Property Rights and Crime," Scandinavian Journal of Economics, Wiley Blackwell, vol. 84(1), pages 27-40.
    3. Alexander Karaivanov, 2009. "Heterogeneity, returns to scale, and collective action," Canadian Journal of Economics, Canadian Economics Association, vol. 42(2), pages 771-807, May.
    4. Richard Cornes & Roger Hartley, 2012. "Risk aversion in symmetric and asymmetric contests," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 51(2), pages 247-275, October.
    5. William Novshek, 1985. "On the Existence of Cournot Equilibrium," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 52(1), pages 85-98.
    6. Hirshleifer,Jack, 2001. "The Dark Side of the Force," Cambridge Books, Cambridge University Press, number 9780521009171.
    7. Richard Cornes & Roger Hartley & Yuji Tamura, 2019. "Two‐Aggregate Games: Demonstration Using a Production–Appropriation Model," Scandinavian Journal of Economics, Wiley Blackwell, vol. 121(1), pages 353-378, January.
    8. Alex Dickson & Roger Hartley, 2013. "Bilateral oligopoly and quantity competition," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 52(3), pages 979-1004, April.
    9. Kotchen, Matthew J., 2007. "Equilibrium existence and uniqueness in impure public good models," Economics Letters, Elsevier, vol. 97(2), pages 91-96, November.
    10. Skaperdas, Stergios, 1992. "Cooperation, Conflict, and Power in the Absence of Property Rights," American Economic Review, American Economic Association, vol. 82(4), pages 720-739, September.
    11. Herschel I. Grossman, 2001. "The Creation of Effective Property Rights," American Economic Review, American Economic Association, vol. 91(2), pages 347-352, May.
    12. Bush, Winston C. & Mayer, Lawrence S., 1974. "Some implications of anarchy for the distribution of property," Journal of Economic Theory, Elsevier, vol. 8(4), pages 401-412, August.
    13. Szidarovszky, F & Yakowitz, S, 1977. "A New Proof of the Existence and Uniqueness of the Cournot Equilibrium," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(3), pages 787-789, October.
    14. Anderton,Charles H. & Carter,John R., 2019. "Principles of Conflict Economics," Cambridge Books, Cambridge University Press, number 9781316635391, January.
    15. TOSHIHIRO IHORI & MARTIN C. McGUIRE, 2007. "Collective Risk Control and Group Security: The Unexpected Consequences of Differential Risk Aversion," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 9(2), pages 231-263, April.
    16. Lasserre, Pierre & Soubeyran, Antoine, 2003. "A Ricardian model of the tragedy of the commons," Journal of Economic Behavior & Organization, Elsevier, vol. 50(1), pages 29-45, January.
    17. Cornes, Richard & Hartley, Roger, 2007. "Weak links, good shots and other public good games: Building on BBV," Journal of Public Economics, Elsevier, vol. 91(9), pages 1684-1707, September.
    18. Grossman, Herschel I, 1994. "Production, Appropriation, and Land Reform," American Economic Review, American Economic Association, vol. 84(3), pages 705-712, June.
    19. Usher, Dan, 1989. "The Dynastic Cycle and the Stationary State," American Economic Review, American Economic Association, vol. 79(5), pages 1031-1044, December.
    20. Durham, Yvonne & Hirshleifer, Jack & Smith, Vernon L., 2008. "The Paradox of Power," Handbook of Experimental Economics Results, in: Charles R. Plott & Vernon L. Smith (ed.), Handbook of Experimental Economics Results, edition 1, volume 1, chapter 16, pages 127-137, Elsevier.
    21. Anderton,Charles H. & Carter,John R., 2009. "Principles of Conflict Economics," Cambridge Books, Cambridge University Press, number 9780521698658, December.
    22. Richard Cornes & Roger Hartley, 2007. "Aggregative Public Good Games," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 9(2), pages 201-219, April.
    23. Keith Hartley & Todd Sandler (ed.), 2007. "Handbook of Defense Economics," Handbook of Defense Economics, Elsevier, edition 1, volume 2, number 1.
    24. Simon Vicary, 2009. "The voluntary provision of a public good in an international commons," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 42(3), pages 984-996, August.
    25. Grossman, Herschel I & Kim, Minseong, 1995. "Swords or Plowshares? A Theory of the Security of Claims to Property," Journal of Political Economy, University of Chicago Press, vol. 103(6), pages 1275-1288, December.
    26. Hirshleifer, Jack, 1995. "Anarchy and Its Breakdown," Journal of Political Economy, University of Chicago Press, vol. 103(1), pages 26-52, February.
    27. Simon Vicary, 2009. "The voluntary provision of a public good in an international commons," Canadian Journal of Economics, Canadian Economics Association, vol. 42(3), pages 984-996, August.
    28. Michelle R. Garfinkel & Stergios Skaperdas, 2000. "Contract or War? On the Consequences of a Broader View of Self-Interest in Economics," The American Economist, Sage Publications, vol. 44(1), pages 5-16, March.
    29. Garfinkel, Michelle R. & Skaperdas, Stergios, 2007. "Economics of Conflict: An Overview," Handbook of Defense Economics, in: Keith Hartley & Todd Sandler (ed.), Handbook of Defense Economics, edition 1, volume 2, chapter 22, pages 649-709, Elsevier.
    30. Dickson, Alex & Hartley, Roger, 2008. "The strategic Marshallian cross," Games and Economic Behavior, Elsevier, vol. 64(2), pages 514-532, November.
    31. Usher, D, 1987. "Theft as a Paradigm for Departures from Efficiency," Oxford Economic Papers, Oxford University Press, vol. 39(2), pages 235-252, June.
    32. Cornes, Richard & Hartley, Roger, 2003. "Risk Aversion, Heterogeneity and Contests," Public Choice, Springer, vol. 117(1-2), pages 1-25, October.
    33. Garfinkel,Michelle R. & Skaperdas,Stergios (ed.), 1996. "The Political Economy of Conflict and Appropriation," Cambridge Books, Cambridge University Press, number 9780521560634.
    34. Grossman, Herschel I, 1991. "A General Equilibrium Model of Insurrections," American Economic Review, American Economic Association, vol. 81(4), pages 912-921, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dripto Bakshi & Indraneel Dasgupta, 2021. "A Subscription vs. Appropriation Framework for Natural Resource Conflicts," World Scientific Book Chapters, in: Anil Markandya & Dirk Rübbelke (ed.), CLIMATE AND DEVELOPMENT, chapter 9, pages 257-307, World Scientific Publishing Co. Pte. Ltd..
    2. Richard Cornes & Roger Hartley & Yuji Tamura, 2019. "Two‐Aggregate Games: Demonstration Using a Production–Appropriation Model," Scandinavian Journal of Economics, Wiley Blackwell, vol. 121(1), pages 353-378, January.
    3. Luis C. Corchón, 2021. "Aggregative games," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 12(1), pages 49-71, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Vahabi,Mehrdad, 2019. "The Political Economy of Predation," Cambridge Books, Cambridge University Press, number 9781107591370, January.
    2. Mehrdad Vahabi, 2011. "The Economics of Destructive Power," Chapters, in: Derek L. Braddon & Keith Hartley (ed.), Handbook on the Economics of Conflict, chapter 5, Edward Elgar Publishing.
    3. Mehrdad Vahabi, 2009. "A Critical Review of Strategic Conflict Theory and Socio-political Instability Models," Revue d'économie politique, Dalloz, vol. 119(6), pages 817-858.
    4. Kolmar, Martin, 2005. "The contribution of Herschel I. Grossman to political economy," European Journal of Political Economy, Elsevier, vol. 21(4), pages 802-814, December.
    5. van Besouw, Bram & Ansink, Erik & van Bavel, Bas, 2016. "The economics of violence in natural states," Journal of Economic Behavior & Organization, Elsevier, vol. 132(PA), pages 139-156.
    6. Mehrdad Vahabi, 2012. "Political Economy of Conflict Foreword," Revue d'économie politique, Dalloz, vol. 122(2), pages 153-169.
    7. Hoffmann, Magnus & Rota-Graziosi, Grégoire, 2012. "Endogenous timing in general rent-seeking and conflict models," Games and Economic Behavior, Elsevier, vol. 75(1), pages 168-184.
    8. Hadi Yektaş & Magnus Hoffmann & Friedhelm Hentschel & Roland Hodler, 2019. "Wars of Conquest and Independence," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 175(4), pages 617-640.
    9. Charles Anderton & John Carter, 1996. "An Experimental Test of a Predator-Prey Model of Conflict," Working Papers 9603, College of the Holy Cross, Department of Economics.
    10. Hoffmann, Magnus & Rota-Graziosi, Grégoire, 2012. "Endogenous timing in general rent-seeking and conflict models," Games and Economic Behavior, Elsevier, vol. 75(1), pages 168-184.
    11. Noh, Suk Jae, 1999. "A General Equilibrium Model of Two Group Conflict with Endogenous Intra-group Sharing Rules," Public Choice, Springer, vol. 98(3-4), pages 251-267, March.
    12. Martin Kolmar, 2008. "Perfectly Secure Property Rights and Production Inefficiencies in Tullock Contests," Southern Economic Journal, John Wiley & Sons, vol. 75(2), pages 441-456, August.
    13. Martin Wittenberg, 2008. "To Prey Or Not To Prey? Welfare And Individual Losses In A Conflict Model1," South African Journal of Economics, Economic Society of South Africa, vol. 76(2), pages 239-265, June.
    14. Kjell Hausken, 2005. "Production and Conflict Models Versus Rent-Seeking Models," Public Choice, Springer, vol. 123(1), pages 59-93, April.
    15. Carter, John R. & Anderton, Charles H., 2001. "An experimental test of a predator-prey model of appropriation," Journal of Economic Behavior & Organization, Elsevier, vol. 45(1), pages 83-97, May.
    16. Matthew Baker & Erwin Bulte, 2010. "Kings and Vikings: on the dynamics of competitive agglomeration," Economics of Governance, Springer, vol. 11(3), pages 207-227, June.
    17. Raul Caruso, 2006. "A Trade Institution as a Peaceful Institution? A Contribution to Integrative Theory," Conflict Management and Peace Science, Peace Science Society (International), vol. 23(1), pages 53-72, February.
    18. Ansink, Erik & Weikard, Hans-Peter, 2009. "Contested water rights," European Journal of Political Economy, Elsevier, vol. 25(2), pages 247-260, June.
    19. Francisco Campos-Ortiz & Louis Putterman & T.K. Ahn & Loukas Balafoutas & Mongoljin Batsaikhan & Matthias Sutter, 2012. "Security of property as a public good: Institutions, socio-political environment and experimental behavior in five countries," Working Papers 2012-26, Faculty of Economics and Statistics, Universität Innsbruck.
    20. Philipp Denter & Dana Sisak, 2010. ""Who's the thief?": Asymmetric Information and the Creation of Property Rights," University of St. Gallen Department of Economics working paper series 2010 2010-27, Department of Economics, University of St. Gallen.

    More about this item

    Keywords

    conflict; noncooperative games; aggregative games;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions

    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:ces:ceswps:_3060. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Klaus Wohlrabe (email available below). General contact details of provider: https://edirc.repec.org/data/cesifde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.