A One-Stage Model of Link Formation and Payoff Division

M. Slikker, C.G.A.M. van den Nouweland

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In this paper we introduce a strategic form model in which cooperation structures and divisions of the payoffs are determined simultaneously. We analyze the cooperation structures and payoff divisions that result according to several equilibrium concepts. We find that essentially no cycles will result and that a player need not profit from a central position in a cooperation structure.
Original languageEnglish
Place of PublicationTilburg
PublisherOperations research
Number of pages31
Publication statusPublished - 1997

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NameCentER Discussion Paper


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