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A Cooperative Bargaining Approach to the Assignment Market
Authors:Marina Núñez  Carles Rafels
Institution:(1) Department of Economic, Financial and Actuarial Mathematics and CREB, University of Barcelona, Av. Diagonal, 690, 08034 Barcelona, Spain
Abstract:For each assignment market, an associated bargaining problem is defined and some bargaining solutions to this problem are analyzed. For a particular choice of the disagreement point, the Nash solution and the Kalai–Smorodinsky solution coincide and give the midpoint between the buyers-optimal core allocation and the sellers-optimal core allocation, and thus they belong to the core.
Keywords:Assignment game  Core  Bargaining problem  Nash solution  Kalai–  Smorodinsky solution
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