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A Game-Theoretic Perspective on Coalition Formation$
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Debraj Ray

Print publication date: 2007

Print ISBN-13: 9780199207954

Published to Oxford Scholarship Online: January 2008

DOI: 10.1093/acprof:oso/9780199207954.001.0001

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Coalitions, Cooperation and Noncooperation

Coalitions, Cooperation and Noncooperation

(p.23) CHAPTER 3 Coalitions, Cooperation and Noncooperation
A Game-Theoretic Perspective on Coalition Formation

Debraj Ray (Contributor Webpage)

Oxford University Press

This chapter describes in greater detail what the phrases ‘cooperation within coalitions’ and ‘non-cooperation across coalitions’ mean in this book. It develops the idea of coalitional equilibrium, which captures ‘non-cooperative play’ across coalitions. It then uses coalitional equilibrium to construct partition functions, which embody specifications of the worth or value of every coalition in every ambient coalition structure. Partition functions will be used intensively in the rest of the book. Several examples of partition functions are provided, drawn from different social situations.

Keywords:   cooperation, non-cooperation, coalitions, coalitional equilibrium, coalition structure, externalities, partition functions

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