The Harsanyi paradox and the 'right to talk' in bargaining among coalitions
We introduce a non-cooperative model of bargaining when players are divided into coalitions. The model is a modification of the mechanism in Vidal-Puga (Economic Theory, 2005) so that all the players have the same chances to make proposals. This means that players maintain their own 'right to talk' when joining a coalition. We apply this model to an intriguing example presented by Krasa, Tamimi and Yannelis (Journal of Mathematical Economics, 2003) and show that the Harsanyi paradox (forming a coalition may be disadvantageous) disappears.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Ehud Kalai & Dov Samet, 1983.
"Monotonic Solutions to General Cooperative Games,"
567, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Chae, Suchan & Moulin, Herve, 2004.
"Bargaining among Groups: An Axiomatic Viewpoint,"
2004-01, Rice University, Department of Economics.
- Rubinstein, Ariel, 1982.
"Perfect Equilibrium in a Bargaining Model,"
Econometric Society, vol. 50(1), pages 97-109, January.
- Hart, Sergiu & Mas-Colell, Andreu, 1996.
"Bargaining and Value,"
Econometric Society, vol. 64(2), pages 357-80, March.
- Hart, Sergiu & Kurz, Mordecai, 1983. "Endogenous Formation of Coalitions," Econometrica, Econometric Society, vol. 51(4), pages 1047-64, July.
- Yoshio Kamijo, 2009. "A Two-Step Shapley Value For Cooperative Games With Coalition Structures," International Game Theory Review (IGTR), World Scientific Publishing Co. Pte. Ltd., vol. 11(02), pages 207-214.
- David Pérez-Castrillo & David Wettstein, .
"Bidding For The Surplus: A Non-Cooperative Approach To The Shapley Value,"
UFAE and IAE Working Papers
461.00, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Perez-Castrillo, David & Wettstein, David, 2001. "Bidding for the Surplus : A Non-cooperative Approach to the Shapley Value," Journal of Economic Theory, Elsevier, vol. 100(2), pages 274-294, October.
- Vidal-Puga, Juan & Bergantinos, Gustavo, 2003. "An implementation of the Owen value," Games and Economic Behavior, Elsevier, vol. 44(2), pages 412-427, August.
- Chae, Suchan & Heidhues, Paul, 2004. "A group bargaining solution," Mathematical Social Sciences, Elsevier, vol. 48(1), pages 37-53, July.
- Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
- Guillaume HAERINGER, 1999.
"A New Weight Scheme for the Shapley Value,"
Working Papers of BETA
9910, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
- Winter, Eyal, 1992.
"The consistency and potential for values of games with coalition structure,"
Games and Economic Behavior,
Elsevier, vol. 4(1), pages 132-144, January.
- Eyal Winter, 1989. "The Consistency and Potential for Values of Games with Coalition Structure," Discussion Paper Serie A 242, University of Bonn, Germany.
- Albizuri, M. Josune & Zarzuelo, Jose M., 2004. "On coalitional semivalues," Games and Economic Behavior, Elsevier, vol. 49(2), pages 221-243, November.
- Amer, Rafael & Carreras, Francese & Gimenez, Jose Miguel, 2002. "The modified Banzhaf value for games with coalition structure: an axiomatic characterization," Mathematical Social Sciences, Elsevier, vol. 43(1), pages 45-54, January.
- Juan Vidal-Puga, 2005. "A bargaining approach to the Owen value and the Nash solution with coalition structure," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 25(3), pages 679-701, 04.
- José Alonso-Meijide & M. Fiestras-Janeiro, 2002. "Modification of the Banzhaf Value for Games with a Coalition Structure," Annals of Operations Research, Springer, vol. 109(1), pages 213-227, January.
- María Gómez-Rúa & Juan Vidal-Puga, 2011.
"Balanced per capita contributions and level structure of cooperation,"
TOP- An Official Journal of the Spanish Society of Statistics and Operations Research,
Springer;Sociedad de Estadística e Investigación Operativa, vol. 19(1), pages 167-176, July.
- Gómez-Rúa, María & Vidal-Puga, Juan, 2008. "Balanced per capita contributions and levels structure of cooperation," MPRA Paper 8208, University Library of Munich, Germany.
- Roberto Serrano, 2004.
"Fifty Years of the Nash Program, 1953-2003,"
2004-20, Brown University, Department of Economics.
- Kamijo, Yoshio, 2008. "Implementation of weighted values in hierarchical and horizontal cooperation structures," Mathematical Social Sciences, Elsevier, vol. 56(3), pages 336-349, November.
- Calvo, Emilio & Gutiérrez, Esther, 2010.
"Solidarity in games with a coalition structure,"
Mathematical Social Sciences,
Elsevier, vol. 60(3), pages 196-203, November.
- Gómez-Rúa, María & Vidal-Puga, Juan, 2010.
"The axiomatic approach to three values in games with coalition structure,"
European Journal of Operational Research,
Elsevier, vol. 207(2), pages 795-806, December.
- Gómez-Rúa, María & Vidal-Puga, Juan, 2008. "The axiomatic approach to three values in games with coalition structure," MPRA Paper 8904, University Library of Munich, Germany.
- Calvo, Emilio & Javier Lasaga, J. & Winter, Eyal, 1996. "The principle of balanced contributions and hierarchies of cooperation," Mathematical Social Sciences, Elsevier, vol. 31(3), pages 171-182, June.
- Levy, Anat & Mclean, Richard P., 1989. "Weighted coalition structure values," Games and Economic Behavior, Elsevier, vol. 1(3), pages 234-249, September.
- Krasa, Stefan & Temimi, Akram & Yannelis, Nicholas C., 2003. "Coalition structure values in differential information economies: is unity a strength?," Journal of Mathematical Economics, Elsevier, vol. 39(1-2), pages 51-62, February.
When requesting a correction, please mention this item's handle: RePEc:wpa:wuwpga:0501005. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA)
If references are entirely missing, you can add them using this form.