The Bilateral Consistent Prekernel, the Core, and NTU Bankruptcy Problems
Published Online:1 May 2003https://doi.org/10.1287/moor.28.2.268.14476
Abstract
It is shown that the bilateral consistent prekernel, an NTU solution concept that generalizes the Nash bargaining solution by means of a principle of bilateral consistency, is nonempty and intersects the core for a sufficiently rich class of NTU games: the class of boundary separating games, also introduced here. A second contribution of this paper is the NTU extension of the bankruptcy games introduced by Aumann and Maschler (1985). These games, which provide a new approach for dealing with bargaining problems with claims, are shown to be boundary separating, so that the results apply.
