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A recursive core for cooperative games with overlapping coalitions

Author

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  • Messan Agbaglah

    (Département d'économique, Université de Sherbrooke)

Abstract

This paper develops an extension of the recursive core to the setting of overlapping coalitions. We show that the cooperative game theoretical traditional way of separating a deviant coalition from the game played by the ones left behind is no more satisfactory. We therefore introduce a new paradigm with which we obtain the overlapping coalition structure core whose allocations are Pareto-efficient.

Suggested Citation

  • Messan Agbaglah, 2014. "A recursive core for cooperative games with overlapping coalitions," Cahiers de recherche 14-07, Departement d'économique de l'École de gestion à l'Université de Sherbrooke.
    • Handle: RePEc:shr:wpaper:14-07
    as

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    File URL: http://gredi.recherche.usherbrooke.ca/wpapers/GREDI-1407.pdf
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    References listed on IDEAS

    as
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    7. László Kóczy, 2007. "A recursive core for partition function form games," Theory and Decision, Springer, vol. 63(1), pages 41-51, August.
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    9. Huang, Chen-Ying & Sjostrom, Tomas, 2003. "Consistent solutions for cooperative games with externalities," Games and Economic Behavior, Elsevier, vol. 43(2), pages 196-213, May.
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    11. Macho-Stadler, Ines & Perez-Castrillo, David & Wettstein, David, 2007. "Sharing the surplus: An extension of the Shapley value for environments with externalities," Journal of Economic Theory, Elsevier, vol. 135(1), pages 339-356, July.
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    13. Hafalir, Isa E., 2007. "Efficiency in coalition games with externalities," Games and Economic Behavior, Elsevier, vol. 61(2), pages 242-258, November.
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    Cited by:

    1. Sokolov, Denis, 2022. "Shapley value for TU-games with multiple memberships and externalities," Mathematical Social Sciences, Elsevier, vol. 119(C), pages 76-90.

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    More about this item

    Keywords

    Overlapping coalitions; Cover function game; Recursive core; Residual game; Optimistic; Pessimistic; Efficiency.;
    All these keywords.

    JEL classification:

    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations

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