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Strategically Stable Technological Alliance

Author

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  • Nikolai V. Kolabutin
  • Nikolay A. Zenkevich

Abstract

There are two conditions that are important to investigate the stability problem when considering the long-term cooperative agreements: the dynamic stability (time consistency), and strategic stability. This paper presents the results based on the profit distribution procedure (PRP), which implement a model of stable cooperation. The paper also shows the relationship between the dynamic and strategic stability of cooperative agreement and the numerical results showing the influence of parameters on the character of participants’ development.

Suggested Citation

  • Nikolai V. Kolabutin & Nikolay A. Zenkevich, 2011. "Strategically Stable Technological Alliance," DEGIT Conference Papers c016_055, DEGIT, Dynamics, Economic Growth, and International Trade.
    • Handle: RePEc:deg:conpap:c016_055
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    File URL: http://degit.sam.sdu.dk/papers/degit_16/c016_055.pdf
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    References listed on IDEAS

    as
    1. Petrosjan, Leon & Zaccour, Georges, 2003. "Time-consistent Shapley value allocation of pollution cost reduction," Journal of Economic Dynamics and Control, Elsevier, vol. 27(3), pages 381-398, January.
    2. D. W. K. Yeung & L. A. Petrosyan, 2004. "Subgame Consistent Cooperative Solutions in Stochastic Differential Games," Journal of Optimization Theory and Applications, Springer, vol. 120(3), pages 651-666, March.
    3. Zenkevich, Nikolay A. & Petrosjan, Leon A., 2006. "Time-consistency of cooperative solutions," Working Papers 52, Graduate School of Management, St. Petersburg State University.
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    More about this item

    Keywords

    Differential Game; Coalition; Shapley Value; Dynamic Stability; Strategic Stabilty;
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