In Bargaining Theory players di¤er from one another in either their valuation for the negotiated object and/or their time preferences. We suggest a model that incorporates "bargaining ability" as another source for heterogeneity across players. This bargaining ability for the buyer determines how many o¤ers he will be able to turn down before he walks away. For the seller this ability determine...

Consider a two-person intertemporal bargaining problem in which players choose actions and collect payo¤s while bargaining proceeds. Theory is silent regarding how the surplus is likely to be split, because a folk theorem applies. Perturbing such a game with a rich set of behavioral types for each player yields a speci…c asymptotic prediction for how the surplus will be divided, as the perturba...

Within the class of superadditive cooperative games with transferable utility, the convexity of a game is characterized by the coincidence of its core and the steady bargaining set. As a consequence it is also proved that convexity can also be characterized by the coincidence of the core of a game and the modified Zhou bargaining set (Shimomura, 1997)

We consider the long-run outcomes of bargaining games when players obey prospect theory. extend evolutionary model Young (1993) to a two-stage Nash demand game. Two simultaneously choose whether exercise an outside option in first stage and play game second stage, which will be reached only if neither player exercises option. address influence on stochastically stable division reference-depende...

This paper extends the analogy previously established by Leamer (1978a), between a Bayesian inference problem and an economics allocation problem, to show that posterior modes can be interpreted as optimal outcomes of a bargaining game. This bargaining game, over a parameter value, is played between two players: the researcher (with preferences represented by the prior) and the data (with prefe...

This paper argues that the economics of the family can be much enriched by incorporating recent developments in evolutionary biology, animal behavior studies, cultural evolution, anthropology, and game theory. Evolutionary foundations of sympathy between relatives are explored. Applications of the theory of cultural evolution to the demographic transition and to wealth transfers between generat...

Due to global warming and climate change, it is essential produce power using renewable sources, such as solar, wind, fuel cells, etc. The traditional grid shifts towards the smart by infusing digital communication techniques information technology. As current system shifting a grid, utility prosumers participate in energy trading process. distributed nature of providing fair price among them b...

This paper proposes a new solution concept to three-player coalitional bargaining problems where the underlying economic opportunities are described by a partition function. This classic bargaining problem is modeled as a dynamic non-cooperative game in which players make conditional or unconditional offers, and coalitions continue to negotiate as long as there are gains from trade. The theory ...