A sequential approach to the characteristic function and the core in games with externalities
Marco Marini and
Sergio Currarini (sc526@le.ac.uk)
MPRA Paper from University Library of Munich, Germany
Abstract:
This paper proposes a formulation of coalitional payoff possibilities in games with externalities, based on the assumption that forming coalitions can exploit a ”first mover advantage”. We derive a characteristic function and show that when outside players play their best response noncooperatively, the core is nonempty in games with strategic complements. We apply this result to Cournot and Bertrand games and to public goods economies.
Keywords: Core; cooperative games; externalities (search for similar items in EconPapers)
JEL-codes: C70 C71 (search for similar items in EconPapers)
Date: 2003, Revised 2003
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22)
Published in Koray S. and Sertel, M. R. (eds.), pp.233-250, Advances in Economic Design, Springer Verlag, Berlin & London (2003): pp. 233-251
Downloads: (external link)
https://mpra.ub.uni-muenchen.de/1689/1/MPRA_paper_1689.pdf original version (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:1689
Access Statistics for this paper
More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter (winter@lmu.de).