March 7, 2010

Non-cooperative Games with Confirmed Proposals

by Giuseppe Attanasi, Aurora García Gallego, Nikolaos Georgantzís and Aldo Montesano

- We propose a bargaining process as a way of playing and solving non cooperative games. We focus on social dilemma situations and show that sequential proposals which, if confirmed by players, determine real play, may give rise to equilibrium outcomes which differ from the standard non cooperative solution. Specifically, we show that, under standard assumptions, in a prisoners’ dilemma with confirmed proposals, there is a unique confirmed agreement between players to behave cooperatively.

Attanasi, G., A. García Gallego, N. Georgantzís and A. Montesano (2010). "Non-cooperative Games with Confirmed Proposals." LERNA Travaux No. 10.02.308, Jan 2010.