Cooperative Game Theory : An Introduction

Doctoral course (April - May 2005)

Joint programme : KULeuven - UCL - ULB

• Parts out of the book by Peleg and Sudhölter

  Introduction to the theory of cooperative games, 2003 Kluwer Academic Publ, Boston

  For a book review (by Maschler) : http://www.sciencedirect.com/science/journal/08998256 Games and economic behavior, Volume 53, Number 2, page 269-270, November 2005

   

  • TU-games
    • motivation and examples
    • core, empty versus nonempty, properties, axiomatization
    • bargaining set, nonemptiness, properties
    • Shapley-value
      • additivity axiom
      • axiom of marginalism
      • consistency
      • potential
    • nucleolus
      • definition and examples
      • reduced game property
    • monotonicity
      • Shapley - nucleolus
  • NTU-games
    • definition
    • core
    • Shapley-value
    • Harsanyi-value

• Diamantoudi, Xue : Coalitions, agreements, and efficiency. Core DP 2002
• Maskin : Bargaining, coalitions, and externalities. Presidential address Econometric Society 2003
• Macho-Stadler, Perez-Castrillo, Wettstein : Sharing the surplus: a just and efficient proposal for environments with externalities. April 7, 2004.

EXAM

Students are free to choose the exam-form : a short paper, an open book exam in Leuven, or a take-home-exam.

As a take-home-exam students should select two or three exercises out of the above mentioned book (from different chapters), solve these exercises, and send me their solutions.  

Deadline is JUNE 22, 2005 for the June session  (and SEPTEMBER ??, 2005 for the September session).

In case further information is needed, please contact me : Luc.Lauwers@econ.kuleuven.be