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Bargaining over a common conceptual space

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  • Nadia Mâagli

    (Department of Management [Venice] - University of Ca’ Foscari [Venice, Italy], CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)

  • Marco Licalzi

    (Department of Management [Venice] - University of Ca’ Foscari [Venice, Italy])

Abstract

Two agents endowed with different individual conceptual spaces are engaged in a dialectic process to reach a common understanding. We model the process as a simple non-cooperative game and demonstrate three results. When the initial disagreement is focused, the bargaining process has a zero-sum structure. When the disagreement is widespread, the zero-sum structure disappears and the unique equilibrium requires a retraction of consensus: two agents who individually agree to associate a region with the same concept end up rebranding it as a different concept. Finally, we document a conversers' dilemma: such equilibrium outcome is Pareto-dominated by a cooperative solution that avoids retraction.

Suggested Citation

  • Nadia Mâagli & Marco Licalzi, 2014. "Bargaining over a common conceptual space," Post-Print halshs-01025079, HAL.
  • Handle: RePEc:hal:journl:halshs-01025079
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-01025079
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    References listed on IDEAS

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    1. Birger Wernerfelt, 2004. "Organizational Languages," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 13(3), pages 461-472, September.
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    More about this item

    Keywords

    cognitive maps; language differences; semantic bargaining; organisational codes; mental models; codes organisationnels; modèles mentaux; négociation sémantique; différences linguistiques; stratégies cognitives;
    All these keywords.

    JEL classification:

    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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