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The Core of Economies with Asymmetric Information: An Axiomatic Approach

Author

Listed:
  • Darin Lee
  • Oscar Volij

    (Department of Economics, Brown University, and Department of Economics, Hebrew University of Jerusalem.)

Abstract

We propose two generalizations of the Davis-Maschler reduced game property to economies with asymmetric information and apply them in the characterization of two solution concepts. One is Wilson's (1978) Coarse Core and the other is a subsolution of it which we call the Coarse+ Core.

Suggested Citation

  • Darin Lee & Oscar Volij, 1997. "The Core of Economies with Asymmetric Information: An Axiomatic Approach," Economic theory and game theory 005, Oscar Volij.
    • Handle: RePEc:nid:ovolij:005
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    References listed on IDEAS

    as
    1. Oscar Volij, 2000. "Communication, credible improvements and the core of an economy with asymmetric information," International Journal of Game Theory, Springer;Game Theory Society, vol. 29(1), pages 63-79.
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    10. Vohra, Rajiv, 1999. "Incomplete Information, Incentive Compatibility, and the Core," Journal of Economic Theory, Elsevier, vol. 86(1), pages 123-147, May.
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    15. Koutsougeras, Leonidas C & Yannelis, Nicholas C, 1993. "Incentive Compatibility and Information Superiority of the Core of an Economy with Differential Information," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 3(2), pages 195-216, April.
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    Cited by:

    1. S. Flåm & L. Koutsougeras, 2010. "Private information, transferable utility, and the core," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 42(3), pages 591-609, March.
    2. Serrano, Roberto & Vohra, Rajiv, 2007. "Information transmission in coalitional voting games," Journal of Economic Theory, Elsevier, vol. 134(1), pages 117-137, May.
    3. Dutta, Bhaskar & Vohra, Rajiv, 2005. "Incomplete information, credibility and the core," Mathematical Social Sciences, Elsevier, vol. 50(2), pages 148-165, September.
    4. Myerson, Roger B., 2007. "Virtual utility and the core for games with incomplete information," Journal of Economic Theory, Elsevier, vol. 136(1), pages 260-285, September.
    5. repec:dau:papers:123456789/5454 is not listed on IDEAS
    6. Forges, Francoise & Minelli, Enrico & Vohra, Rajiv, 2002. "Incentives and the core of an exchange economy: a survey," Journal of Mathematical Economics, Elsevier, vol. 38(1-2), pages 1-41, September.
    7. Kamishiro, Yusuke & Vohra, Rajiv & Serrano, Roberto, 2023. "Signaling, screening, and core stability," Journal of Economic Theory, Elsevier, vol. 213(C).
    8. Francoise Forges & Jean-Francois Mertens & Rajiv Vohra, 2002. "The Ex Ante Incentive Compatible Core in the Absence of Wealth Effects," Econometrica, Econometric Society, vol. 70(5), pages 1865-1892, September.
    9. Lee, Darin, 1998. "A note on the individualistic foundations of the core in economies with asymmetric information," Economics Letters, Elsevier, vol. 61(2), pages 203-208, November.
    10. Okada, Akira, 2012. "Non-cooperative bargaining and the incomplete informational core," Journal of Economic Theory, Elsevier, vol. 147(3), pages 1165-1190.
    11. de Clippel, Geoffroy, 2007. "The type-agent core for exchange economies with asymmetric information," Journal of Economic Theory, Elsevier, vol. 135(1), pages 144-158, July.
    12. Toshiji Miyakawa, 2017. "The farsighted core in a political game with asymmetric information," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 49(1), pages 205-229, June.

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    More about this item

    Keywords

    Asymmetric information; core; reduced game property; consistency.;
    All these keywords.

    JEL classification:

    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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