Two agents endowed with different categorisations engage in bargaining to reach an understanding and agree on a common categorisation. We model the process as a simple non-cooperative game and demonstrate three results. When the initial disagreement is focused, the bargaining process has a zero-sum structure. When the disagreement is widespread, the zero-sum structure disappears and the unique equilibrium requires a retraction of consensus: two agents who individually associate a region with the same category end up rebranding it under (...) a different category. Finally, we show that this last equilibrium outcome is Pareto dominated by a cooperative solution that avoids retraction; that is, the unique equilibrium agreement may be inefficient. (shrink)

Prevailing literature argues that arguing is the only appropriate mode of deliberation. The literature acknowledges bargaining, story telling, and other forms of communication, but is unwilling to describe these as deliberation, properly speaking. The claim is that describing them as such would amount to concept stretching. In this article I argue that arguing exhausts neither the legitimate modes of deliberation nor the modes for effective deliberation. To do this I delineate two basic categories of issues we normally deliberate upon, (...) and demonstrate that arguing is more appropriate for one category, not so appropriate for the other. (shrink)

On occasion, in multilateral negotiations, interested parties make unilateral demands. Certain agreements need unanimity. However, a lesser degree of consensus may be feasible. In this paper, an alternating demand bargaining game among n players is proposed, which envisages varying consensus requirements and commitment, both crucial in generating a unique and efficient outcome of the bargaining process.

From a traditional moral point of view, business practitioners often seem overly concerned about the behavior of their peers in deciding how they ought to act. We propose to account for this concern by introducing a mutual trust perspective, where moral obligations are grounded in a sense of trust that others will abide by the same rules. when grounds for trust are absent, the obligation is weakened. We illustrate this perspective by examining the widespread ambivalence with regard to deception about (...) one's settlement preferences in negotiation. On an abstract level, such deception generally seems undesirable, though in many individual cases it is condoned, even admired as shrewd bargaining. Because of the difficulty in verifying someone's settlement preferences, it is hard to establish a basis for trusting the revelations of the other party, especially in competitive negotiations with relative strangers. (shrink)

Collaboration is increasingly popular across academia. Collaborative work raises certain ethical questions, however. How will the fruits of collaboration be divided? How will the work for the collaborative project be split? In this paper, we consider the following question in particular. Are there ways in which these divisions systematically disadvantage certain groups? -/- We use evolutionary game theoretic models to address this question. First, we discuss results from O'Connor and Bruner (unpublished). In this paper, we show that underrepresented groups in (...) academia can be disadvantaged in such situations by dint of their small numbers. Second, we present novel results exploring how the hierarchical structure of academia can lead to bargaining disadvantage. We investigate models where one actor has a higher baseline of academic success, less to lose if collaboration goes south, or greater rewards for non-collaborative work. We show that in these situations, the less powerful partner is disadvantaged in bargaining over collaboration. (shrink)

Abstract:I examine from a conventionalist perspective the Nash bargaining problem that philosophers use as a tool for analyzing fair division. From this perspective, the solutions to bargaining problems are conventions that can emerge from inductive learning and focal point effects. I contrast the conventionalist approach to analyzing the bargaining problem with the better-known rational choice approach, which I criticize for having overly demanding epistemic presuppositions and for producing disappointing results. I apply a simple model of inductive learning (...) to specific bargaining problems to show that agents can learn from repeated experience to follow a variety of bargaining conventions in a given problem. I conclude that such agents can come to regard two such conventions as focal for the bargaining problem, one that assigns claimants equal shares of a good and another egalitarian solution of equal payoff gains, and that the egalitarian solution tends to prevail when these two solutions differ. I conclude further that the above analysis lends support for admitting interpersonal utility comparisons into the analysis of fair division problems, and also suggests a focal point explanation of the wide acceptance of the Aristotelian proportionality principle of distributive justice. (shrink)

A bargaining solution is a social compromise if it is metrically rationalizable, i.e., if it has an optimum (depending on the situation, smallest or largest) distance from some reference point. We explore the workability and the limits of metric rationalization in bargaining theory where compromising is a core issue. We demonstrate that many well-known bargaining solutions are social compromises with respect to reasonable metrics. In the metric approach, bargaining solutions can be grounded in axioms on how (...) society measures differences between utility allocations. Using this approach, we provide an axiomatic characterization for the class of social compromises that are based on p-norms and for the attending bargaining solutions. We further show that bargaining solutions which satisfy Pareto Optimality and Individual Rationality can always be metrically rationalized. (shrink)

Virtual bargaining theory suggests that social agents aim to resolve non-cooperative games by identifying the strategy profile which they would agree to play if they could openly bargain. The theory thus offers an explanation of how social agents resolve games with multiple Nash equilibria. One of the main questions pertaining to this theory is how the principles of the bargaining theory could be applied in the analysis of hypothetical bargaining in non-cooperative games. I propose a bargaining (...) model based on the benefit-equilibrating bargaining solution concept for non-cooperative games, broadly in line with the principles underlying Conley and Wilkie's ordinal egalitarian solution for Pareto optimal point selection problems with finite choice sets. I provide formal characterizations of the ordinal and the cardinal versions of BES, discuss their application to n-player games, and compare model's theoretical predictions with the data available from several experiments involving `pie games'. (shrink)

This article makes two arguments: first, it argues that theories connecting ethnic group mobilization with democratic bargaining are based, often unwittingly, on primordialist assumptions that bias them toward overestimating the intractability of ethnic group demands. Second, it proposes a synthesis of constructivist approaches to ethnic identity and social choice theory to show how we who study ethnic mobilization might build theories that rely on the more realistic and more powerful assumption of instability in ethnic group boundaries and preferences. It (...) illustrates the promise of this approach through a study of the language bargain struck in India's constituent assembly between 1947 and 1949. (shrink)

Within this paper we consider a model of Nash bargaining with incomplete information. In particular, we focus on fee games, which are a natural generalization of side payment games in the context of incomplete information. For a specific class of fee games we provide two axiomatic approaches in order to establish the Expected Contract Value, which is a version of the Nash bargaining solution.

The question of what a group of rational agents would agree on were they to deliberate on how to organise society is central to all hypothetical social contract theories. If morality is to be based on a social contract, we need to know the terms of this contract. One type of social contract theory, contractarianism, aims to derive morality from rationality alone. Contractarians need to show, amongst other things, that rational and self-interested individuals would agree on an impartial division of (...) a cooperative surplus. But it is often claimed that contractarians cannot show this without introducing moral assumptions. This paper argues that on the right understanding of the question contractarians are asking, these worries can be answered. Without relying on moral assumptions, the paper offers a novel derivation of symmetry, which is the axiom responsible for the impartiality of the most famous economic bargaining solutions appealed to by contractarians. (shrink)

From a traditional moral point of view, business practitioners often seem overly concerned about the behavior of their peers in deciding how they ought to act. We propose to account for this concern by introducing a mutual trust perspective, where moral obligations are grounded in a sense of trust that others will abide by the same rules. when grounds for trust are absent, the obligation is weakened. We illustrate this perspective by examining the widespread ambivalence with regard to deception about (...) one's settlement preferences in negotiation. On an abstract level, such deception generally seems undesirable, though in many individual cases it is condoned, even admired as shrewd bargaining. Because of the difficulty in verifying someone's settlement preferences, it is hard to establish a basis for trusting the revelations of the other party, especially in competitive negotiations with relative strangers. (shrink)

This second Cambridge University Press collection of papers by Vernon L. Smith, a creator of the field of experimental economics, includes many of his primary authored and coauthored contributions on bargaining and market behavior between 1990 and 1998. The essays explore the use of laboratory experiments to test propositions derived from economics and game theory. They also investigate the relationship between experimental economics and psychology, particularly the field of evolutionary psychology, using the latter to broaden the perspective in which (...) experimental results are interpreted. The volume complements Professor Smith's earlier work by demonstrating the importance of institutional features of markets in understanding behavior and market performance. Specific themes investigated include rational choice, the notion of fairness, game theory and extensive form experimental interactions, institutions and market behavior, and the study of laboratory stock markets. (shrink)

Although there has been significant attention in clinical ethics to when physicians should follow a parent’s wishes, there has been much less discussion of the obligation to solicit viewpoints and decisions from all caregivers who have equal moral and legal standing in relation to a pediatric patient. How should healthcare professionals respond when one caregiver dominates decision making? We present a case that highlights how these problems played out in an ethical bargain. Ethical bargaining occurs when the parties involved (...) choose not to pursue a morally preferable option for the sake of coming to a resolution. This case is not one of parental disagreement; rather, the medical team agreed to exclude the patient’s mother from decision making if the patient’s father promised to bring their son back to the hospital for necessary medical tests. We argue that there is an obligation to notice and acknowledge power asymmetries in the family unit, which, in this case, was manifested as the marginalization of the female decision maker by the male decision maker. In these scenarios, clinicians should be careful to avoid treating parents as one homogenous unit, and they should take action to enable caregivers’ autonomy and voice. While there are moral and practical limits to how and when physicians should intervene in family dynamics, we discuss the steps that the medical team should have taken in this case to avoid undermining the parental authority of the mother. We conclude by offering recommendations to address and enable caregivers’ autonomy at an institutional level, and we discuss the importance of tracking and responding to damaging family dynamics to prevent ethically impermissible bargaining. (shrink)

Recently, philosophers have investigated the emergence and evolution of the social contract. Yet extant work is limited as it focuses on the use of simple behavioral norms in rather rigid strategic settings. Drawing on axiomatic bargaining theory, we explore the dynamics of more sophisticated norms capable of guiding behavior in a wide range of scenarios. Overall, our investigation suggests the utilitarian bargaining solution has a privileged status as it has certain stability properties other social arrangements lack.

Evolutionary accounts of morality consider behavior in rather simple scenarios. Evolutionary work on fairness focuses on the division of a windfall and, importantly, assumes that the positions of those involved are entirely symmetric. I consider more complicated strategic settings and find that there is a strong tendency for evolution to produce divisions consistent with the so-called Nash bargaining solution. I also uncover the evolutionary importance of comprehensiveness, an often-overlooked feature of division problems.

We study a multilateral bargaining problem, where the buyer intends to purchase a subset of available items, each owned by a seller. The subset purchased must satisfy a notion of contiguity, which is modeled using graphs. The graph theoretic approach allows us to study different degrees of complementarity and substitutability between items. It also allows us to examine how degrees of complementarity and substitutability affect the share of surplus obtained by the buyer in the equilibrium of the bargaining (...) game. We characterize necessary and sufficient conditions on the graphs for the buyer to extract full surplus in subgame perfect equilibrium. When the conditions are not met, we provide upper bounds on the equilibrium surplus share of the buyer. (shrink)

This article argues that systematic comparative analyses of women's strategies and coping mechanisms lead to a more culturally and temporally grounded understanding of patriarchal systems than the unqualified, abstract notion of patriarchy encountered in contemporary feminist theory. Women strategize within a set of concrete constraints, which I identify as patriarchal bargains. Different forms of patriarchy present women with distinct “rules of the game” and call for different strategies to maximize security and optimize life options with varying potential for active or (...) passive resistance in the face of oppression. Two systems of male dominance are contrasted: the sub-Saharan African pattern, in which the insecurities of polygyny are matched with areas of relative autonomy for women, and classic patriarchy, which is characteristic of South and East Asia as well as the Muslim Middle East. The article ends with an analysis of the conditions leading to the breakdown and transformation of patriarchal bargains and their implications for women's consciousness and struggles. (shrink)

We characterize equilibrium behavior in a finite horizon multiple-pie alternating offer bargaining game in which both agents have outside options and threat points. In contrast to the infinite horizon case the strength of the threat to delay agreement is non-stationary and decreases over time. Typically the delay threat determines equilibrium proposals in early periods, while the threat to opt out characterizes those in later ones. Owing to this non-stationarity both threats may appear in the equilibrium shares immediately agreed upon (...) in the first period. When the threat to opt out is empty for both agents, the outcome corresponds exactly with the (generalized) Nash bargaining solution. The latter observation may prove useful for designing experiments that are meant to test economic models that include a bargaining stage. (shrink)

This chapter surveys the relevant bargaining theory, namely the Nash bargaining solution, the utilitarian bargaining solution, and the egalitarian bargaining solution. The importance of how interpersonal comparisons of utility are made is emphasized.

As regimes move from illiberal to liberal, post-transition justice methodology has been employed to engender truth and reconciliation. These normative concepts have evolved into a policy of creating truth and reconciliation commissions that trade civil and criminal amnesty with applicants in exchange for information. This bargained-for exchange can be analyzed as an imperfect information game, where the commission attempts to maximize information while the applicant seeks amnesty for the lowest possible price. Using game-theoretic analysis, the authors model the truth-amnesty game (...) and predict the optimal commission strategy. The analysis leads to the recommendation that future transitional justice commissions employ various specific lexicographic ordering strategies to minimize dead weight loss in the transaction. (shrink)

Men and women have always bargained for sex. In Hard Bargains, philosopher-lawyer Linda Hirshman and legal historian Jane Larson provide the first complete analysis of power in heterosexual relationships, combining an eye-opening legal history of sexual regulation with thought-provoking predictions of what the future might bring. Hirshman and Larson tell a riveting tale that spans the centuries--from early accounts of adulterers hanging from the gibbet, to the impact of the Kinsey Reports and Hugh Hefner's playboy philosophy, to the 1960s judge (...) who argued in favor of sex with eleven-year-olds. The book examines the factors that have shaped our notions of sex, from Catholic teaching to the theories of Sigmund Freud, and it explores the Supreme Court decisions of the last few decades that revolutionized the politics of sex. And Hard Bargains not only provides a deep understanding of historical and current disputes, it also offers striking predictions of what sexual bargaining will look like in the future--rape laws replaced by laws of sexual autonomy, adultery subjected to breach of contract action, fornicators responsible for each other's rent, prostitution considered an unfair labor practice. These are a few of the surprising--and surprisingly workable--solutions the authors foresee in the 21st century. Hard Bargains takes a forthright and level-headed look at all aspects of one of the biggest controversies in contemporary American society--heterosexual sex--and delivers a radically new perspective on the sexual lives of women and men. (shrink)

This research uses data from 18 countries to investigate cross-national differences in the effect that men’s income relative to their spouses has on their involvement in housework. The author hypothesizes that gender expectations will be more salient in men’s household bargaining in contexts where the traditionally masculine and breadwinning-related activities of paid work and earning income are highly valued. Results from analyses of International Social Survey Program data support this hypothesis: Men’s behavior is more consistent with a gender deviance (...) neutralization account than an exchange-bargaining account in cultural contexts where paid work and income are highly valued. The analyses point to the role that expectations about masculinity play in men’s involvement in housework and highlight the significance of cultural context for understanding the link between paid and unpaid work. (shrink)

This paper examines the notion that delay in reaching agreement in bargaining may be caused by learning that is independent of the bargaining procedure. In particular, learning is not due to inference from the observed offers and responses of the opponent, but derives from observation of an exogenous, costly signal – we call this 'investigation'. First we observe that even if learning is costless and perfectly informative, investigation may not occur in equilibrium. Under more general conditions, however, uninformed (...) agents typically have an incentive to try to manipulate their prior beliefs through investigation. The main result is that investigation by an uninformed agent may result in significant delay occurring before agreement is reached. We show that this delay may be sustained in the limit as the length of time period vanishes, and that this result depends crucially on the properties of the information production technology underlying investigation. Also, the delay we observe is shown to be robust to changes in the bargaining procedure. (shrink)

Nick Bostrom and others have suggested treating decision-making under moral uncertainty as analogous to parliamentary decision-making. The core suggestion of this “parliamentary approach” is that the competing moral theories function like delegates to the parliament, and that these delegates then make decisions by some combination of bargaining and voting. There seems some reason to hope that such an approach might avoid standard objections to existing approaches (for example, the “maximise expected choiceworthiness” (MEC) and “my favourite theory” approaches). However, the (...) parliamentary approach is so far extremely underspecified, making it largely indeterminate how such a model will in fact behave in the respects that those concerned with moral uncertainty care about. This paper explores one way of making it precise. We treat predicaments of moral uncertainty as analogous to bargaining situations alone (setting aside voting), and apply a version of the Nash solution that is standard in bargaining theory. The resulting model does indeed perform in many of the hoped-for ways. However, so also does a version of MEC that employs a structural approach to intertheoretic comparisons. It seems to us an open question which, regarding this version of MEC and the bargaining-theoretic approach, is superior to the other. We identify the key points on which the two differ. (shrink)

David Gauthier's Morals by Agreement presents a partial theory of distributive justice. It is partial because it applies only to the distribution of gains from joint endeavors, or what we may call the ‘social surplus’ from cooperation. This surplus is the benefit we receive from cooperation insofar as this is greater than what we might have produced through individual efforts without interaction with others. The central core of Gauthier's theory of distributive justice is his bargaining theory of ‘minimax relative (...) concession’ or MRC. Whether his theory is compelling turns essentially on whether MRC is workable and compelling. It is this issue that I wish to address. (shrink)

In this paper we deal with the extension of Nash bargaining theory to nonconvex problems. By focussing on the Social Welfare Ordering associated with a bargaining solution, we characterize the symmetric Nash Bargaining Solution (NBS). Moreover, we obtain a unified method of proof of recent characterization results for the asymmetric single-valued NBS and the symmetric multivalued NBS, as well as their extensions to different domains.

What I propose in this article is application of existing dispute resolution practices that take place outside the courtroom to the negotiating that takes place between health providers and families when they try to reach agreement about the limits of medical care that arguably is futile. Specifically, I focus on a bargaining paradigm that is associated with divorce proceedings, and suggest how this paradigm is at work in the conflict about futile treatment. At issue are not the well-publicized aspects (...) of high profile cases, but the rather unpublicized bargaining that goes no further than the clinical setting.Physicians and families who disagree about the futility of medical treatments frequently engage in give-and-take exchanges about whether to start disputed treatments, about what period of time might comprise a reasonable trial period if a treatment is to be administered, and about when and how to transfer a patient to another facility if the dispute cannot be resolved. (shrink)

Does the “free market” foster more freedom for individuals generally and less coercion? Libertarians and other market advocates argue that the unfettered market maximizes freedom and hence has less coercion than any feasible alternative. Welfare liberals, Socialist, and Marxists, in different ways, argue against the claim that the unrestricted market maximizes freedom generally. Both supporters and critics agree that coercion undermines freedom and that that is what is ultimately prima facie wrong with it. Further, they agree that the extent to (...) which an economic system includes coercion provides a serious strike against it. The problem is that there is little consensus on the necessary conditions for coercion. In this paper I will be concerned with the nature of coercive relationships in the market. Market interactions have a particular character and occur within a specific institutional framework. Other accounts of coercion have failed to capture the unique character of coercion in the market because they have failed to take into account certain nontrivial facts about the market which are essential to the analysis of coercive market relations. (shrink)

This essay tells the story of the development of two of the most significant and controversial entitlement programs in twentieth-century U.S. history—collective bargaining and affirmative action. It focuses on the nexus between them—how New Deal empowerment of labor unions contributed to racial discrimination, and thus fed the Great Society race-based programs of affirmative action. The evolving relationship between the courts and the bureaucracies is emphasized, particularly how the judiciary went from an obstacle to an enabler of the entitlement state.

As well as disagreeing about how much one should donate to charity, moral theories also disagree about where one should donate. In light of this disagreement, how should the morally uncertain philanthropist allocate her donations? In many cases, one intuitively attractive option is for the philanthropist to split her donations across all of the charities that are recommended by moral views in which she has positive credence, with each charity’s share being proportional to her credence in the moral theories that (...) recommend that particular charity. Despite the fact that something like this approach is already being used by real-world philanthropists to distribute billions of dollars of donations, it is not supported by any of the approaches to moral uncertainty that have been proposed thus-far in the philosophical literature. In this paper, we will develop a bargaining-based approach to moral uncertainty that honors the proportionality intuition in favor of splitting one’s donations. We also show how this bargaining-based approach has several further advantages over the best alternative proposals. (shrink)

The first unified and systematic treatment of the modern theory of bargaining, presented together with many examples of how that theory is applied in a variety of bargaining situations. Abhinay Muthoo provides a masterful synthesis of the fundamental results and insights obtained from the wide-ranging and diverse bargaining theory literature. Furthermore, he develops new analyses and results, especially on the relative impacts of two or more forces on the bargaining outcome. Many topics - such as inside (...) options, commitment tactics and repeated bargaining situations - receive their most extensive treatment to date. In the concluding chapter, he offers pointers towards future research. Bargaining Theory with Applications is a textbook for graduate students in economic theory and other social sciences and a research resource for scholars interested in bargaining situations. (shrink)

My concern in this paper is with the illumination that the theory of rational bargaining sheds on the formulation of principles of justice. I shall first set out the bargaining problem, as treated in the theory of games, and the Nash solution, or solution F. I shall then argue against the axiom, labeled “independence of irrelevant alternatives,” which distinguished solution F, and also against the Zeuthen model of the bargaining process which F formalizes.

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.

Applying the solutions defined in the axiomatic bargaining theory to actual bargaining problems is a challenge when the problem is not described by its Utility Possibility Set (UPS) but as a social choice environment specifying the set of alternatives and utility profile underlying the UPS. It requires computing the UPS, which is an operational challenge, and then identifying at least one alternative that actually achieves the bargained solution’s outcome. We introduce the axioms of Independence of Non-Strongly-Efficient Alternatives (resp. (...) Weakly) and Independence of Redundant Alternatives. A solution satisfying these axioms can be applied to a simplified problem based on any reduced set of alternatives generating the strong (resp. weak) Pareto frontier of the initial problem, without changing the outcome, making the application of bargaining solutions to actual problems easier. We compare our axioms to usual independence axioms, and discuss their consistency with usual bargaining solutions. Then, we introduce monotonicity conditions corresponding to the existence of an interest group, i.e., agents ranking the alternatives in the same order. For such monotonic social choice environments, we provide a parameterized family of alternatives that generates the Pareto frontier of the bargaining problem, in line with our previous results. Our analysis illustrates that an axiomatic approach can be useful to foster the application of bargaining solutions, in complement to usual computational methods. (shrink)

Collaboration is increasingly popular across academia. Collaborative work raises certain ethical questions, however. How will the fruits of collaboration be divided? How will the work for the collaborative project be split? In this paper, we consider the following question in particular. Are there ways in which these divisions systematically disadvantage certain groups? We use evolutionary game theoretic models to address this question. First, we discuss results from O'Connor and Bruner showing that underrepresented groups in academia can be disadvantaged in collaboration (...) and bargaining by dint of their small numbers. Second, we present novel results exploring how the hierarchical structure of academia can lead to bargaining disadvantage. We investigate models where one actor has a higher baseline of academic success, less to lose if collaboration goes south, or greater rewards for non-collaborative work. We show that in these situations, the less powerful partner can be disadvantaged in bargaining over collaboration. (shrink)

Despite the classic patriarchy of the Roman Catholic church, American Catholic nuns entered into patriarchal bargains that latently gained them access to resources and status within the system. By means of educational advancement and professional careers, encouraged by the male hierarchy as necessary to performing the works of the church, nuns gained both informal power in the system and an awareness of their disadvantaged position. This article analyzes the shifts that have occurred in these bargains during the past 40 years (...) in terms of the submerged networks of feminist consciousness that have existed in Catholic convents for decades. The article concludes with a description of the current crisis occurring within religious orders as they experience a decline in membership and rapidly increasing median ages of members. (shrink)

Bargaining and distribution of benefits accruing from social cooperation are central topics in contractarian accounts of morality or distributive justice in general and David Gauthier’s Morals by Agreement in particular. In this paper, I raise some problems for MbA both with regards to bargaining over the benefits of social cooperation and the distribution of such benefits. The worries I raise piggyback on a couple of Jan Narveson’s earlier queries of some of the topics in MbA: those of ‘questionable (...) foundation’ and redundancy. However, I go beyond the substance of these queries by arguing that they raise fundamental worries about the correctness of the description of the elements of the bargaining situation, and the role and significance of agreement in MbA. (shrink)

It is argued that the Nash bargaining solution cannot serve as a principle of distributive justice because (i) it cannot secure stable cooperation in repeated interactions and (ii) it cannot capture our moral intuitions concerning distributive questions. In this article, I propose a solution to the first problem by amending the Nash bargaining solution so that it can maintain stable cooperation among rational bargainers. I call the resulting principle the stabilized Nash bargaining solution. The principle defends justice (...) in the form 'each according to her basic needs and above this level according to her relative bargaining power'. In response to the second problem, I argue that the stabilized Nash bargaining solution can serve as a principle of distributive justice in certain situations where moral reasoning is reduced to instrumental reasoning. In particular, I argue that rational individuals would choose the stabilized Nash bargaining solution in Rawls' original position. (shrink)

Empirical research has discovered that experimental subjects in ultimatum bargaining situations generally fail to play the decision-theoretic optimum strategy, and instead play something between that strategy and a fair split. In evolutionary dynamics, fair division and nearly fair division strategies often go to fixation and weakly dominated strategies can do quite well. Computer simulations were done using three different ultimatum bargaining games as determinates of fitness. (1) No tendency toward the elimination of weakly dominated strategies was observed, with (...) or without mutation. (2) Strategies making fair demands had sizable basins of attraction. (3) In a system where five different demands can be made, demands closest to (approximately) 91% had the largest basins of attraction. (4) If the strategies have thresholds for acceptable demands, rather than individuated responses to each demand, the apparent optimum demand may be quite low: 64% for one set of trials. (shrink)

In this paper we examine the merit of bargaining theory, in its economic and ecological forms, as a model for understanding variation in the frequency of participation in cooperative fishing among men of Ifaluk atoll in Micronesia. Two determinants of bargaining power are considered: resource control and a bargainer’s utility gain for his expected share of the negotiated resource. Several hypotheses which relte cultural and life-course parameters to bargaining power are tested against data on the frequency of (...) cooperative sail-fishing participation. Consistent with predictions generated from bargaining theory, we show that (1) age is negatively correlated with cooperative fishing participation, (2) men of highranking clans and men with high levels of education fish less than men of low-ranking clans and less-educated men, (3) men with high expected utility gains from fishing returns fish more than men with low expected utility gains, (4) number of dependents is positively correlated with cooperative fishing participation, and (5) the number of young genetic offspring residing with a man is positively correlated with cooperative fishing participation, whereas the number of genetic offspring more than 13 years old who are residing with a man is negatively correlated with cooperative fishing participation. (shrink)

In a multilateral bargaining game where a proposer and responders can set up a “principal–agent” relationship by means of binding cash-offer contracts, we show that there is a Markov SPE with a delay in reaching an agreement. We also show that all the individually rational and efficient payoffs can be supported by SPE.

The notion of a defendant submitting a false guilty plea due to the penal incentive offered is not an uncommon phenomenon. While the practice has been legitimised based on the defendant’s voluntary informed consent, it has often been argued that the structure of the plea-bargaining practice is coercive. Such can be the case whenever the plea offer entails a significant sentence differential, discrepancy in the form of punishment (a non-custodial sentence relative to a custodial one), or when the alternative (...) of pleading guilty includes the risk of capital punishment. Having said that, plea-bargains have often been classified as a “non-coercive offer”, whether due to their advantageous mutual character according to a baseline conception of coercion or being an offer that one can overcome according to an irresistible psychological account. While many scholars have struggled with the ambiguous notion of “coercive offers,” the paper offers an alternative approach, arguing that it is the type of reasons to be considered within the offer that renders the bargain less than fully autonomous. It will be argued that the plea-bargain proposition infuses irrelevant (guilt-uncorrelated) penal considerations unrelated to the question of guilt. Such considerations are the wrong kind of reason for the guilty-plea decision, and due to the defendant’s dependency on the plea offer, they distort the defendant’s intentional character of her autonomous decision. It is part of the conception of the guilty plea. Though a defendant may autonomously intend to consider irrelevant penal considerations, such a decision cannot be genuinely considered a decision regarding the admission of guilt. (shrink)

Mutualistic theory explains convincingly the prevalence of fairness norms in small societies of foragers and in large contemporary democratic societies. However, it cannot explain the U-shaped curve of egalitarianism in human history. A theory based on bargaining power is able to provide a more general account and to explain mutualism as a special case. According to this approach, social norms may be more variable and malleable than Baumard et al. suggest.