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Licensed Unlicensed Requires Authentication Published by De Gruyter January 10, 2003

A One-Period Version of Rubinstein's Bargaining Game

  • Robert Evans

A one-period, simultaneous-offers bargaining game is analyzed in which, for each player, there is a small probability that his or her proposal will not reach the other player. The unique pure strategy equilibrium offers are identical to those of the Rubinstein (1982) infinite-horizon, alternating-offers bargaining game. This provides a novel interpretation of Rubinstein's result, as well as a new non-cooperative implementation of the Nash Bargaining Solution.

Published Online: 2003-1-10

©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston

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