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Coalition-proof stable networks

Authors :
Luo, Chenghong
Mauleon, Ana
Vannetelbosch, Vincent
UCL - SSH/LIDAM/CORE - Center for operations research and econometrics
USL-B - Centre de recherche en Economie (CEREC)
Publication Year :
2020

Abstract

We propose the notion of coalition-proof stability for predicting the networks that could emerge when group deviations are allowed. A network is coalition-proof stable if there exists no coalition which has a credible group deviation. A coalition is said to have a credible group deviation if there is a profitable group deviation to some network and there is no subcoalition of the deviating players which has a subsequent credible group deviation. Coalition-proof stability is a coarsening of strong stability. There is no relationship between the set of coalition-proof stable networks and the set of networks induced by a coalition-proof Nash equilibrium of Myerson's linking game. Contrary to coalition-proof stability, coalition-proof Nash equilibria of Myerson's linking game tend to support unreasonable networks.

Details

Language :
English
Database :
OpenAIRE
Accession number :
edsair.od......1493..e104da036c1ca90351ee79df50466c44