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Spatial bargaining in rectilinear facility location problem

Authors :
Kazuo Yamaguchi
Source :
Theory and Decision. 93:69-104
Publication Year :
2021
Publisher :
Springer Science and Business Media LLC, 2021.

Abstract

We consider a spatial bargaining model where players collectively choose a facility location on a two-dimensional rectilinear distance space through bargaining using the unanimity rule. We show that as players become infinitely patient, their stationary subgame perfect equilibrium utilities converge to the utilities that satisfy the lexicographic maximin utility criterion introduced by Sen (Collective choice and social welfare, 1970).

Details

ISSN :
15737187 and 00405833
Volume :
93
Database :
OpenAIRE
Journal :
Theory and Decision
Accession number :
edsair.doi...........12989cbebbf04e116d09aaf312f20199