Backward Induction Foundations of the Shapley Value

S-Tier
Journal: Econometrica
Year: 2016
Volume: 84
Pages: 2265-2280

Score contribution per author:

4.022 = (α=2.01 / 2 authors) × 4.0x S-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We present a noncooperative game model of coalitional bargaining, closely based on that of Gul (1989) but solvable by backward induction. In this game, Gul's condition of “value additivity” does not suffice to ensure the existence of a subgame perfect Nash equilibrium that supports the Shapley value, but a related condition—“no positive value‐externalities”—does. Multiple equilibria can arise only in the event of ties, and with a mild restriction on tie‐break rules these equilibria all support the Shapley value.

Technical Details

RePEc Handle
repec:wly:emetrp:v:84:y:2016:i::p:2265-2280
Journal Field
General
Author Count
2
Added to Database
2026-01-26