Consider a variant of the three player majority game we introduced in class. The three players, 1, 2, and 3, again need to decide how to allocate one unit of resources amongst themselves by voting. However, now player 1 has 1 vote, player 2 has 2 votes, and player 3 has 3 votes. To pass a proposed allocation, at least five votes are required. So, any coalition that does not possess at least five votes has only one action that gives each of its members zero resources, while any coalition that does possess at least five votes can choose any allocation of the one unit of resources amongst its members (e.g., an action of the grand coalition is simply an allocation (x1, x2, x3) such that xi ≥ 0 for all i is the portion of resources allocated to player i and x1 + x2 + x3 ≤ 1). Find the core of this gam

Microeconomic Theory
12th Edition
ISBN:9781337517942
Author:NICHOLSON
Publisher:NICHOLSON
Chapter15: Imperfect Competition
Section: Chapter Questions
Problem 15.5P
icon
Related questions
Question

Consider a variant of the three player majority game we introduced in class. The three players, 1, 2, and 3, again need to decide how to allocate one unit of resources amongst themselves by voting. However, now player 1 has 1 vote, player 2 has 2 votes, and player 3 has 3 votes. To pass a proposed allocation, at least five votes are required. So, any coalition that does not possess at least five votes has only one action that gives each of its members zero resources, while any coalition that does possess at least five votes can choose any allocation of the one unit of resources amongst its members (e.g., an action of the grand coalition is simply an allocation (x1, x2, x3) such that xi ≥ 0 for all i is the portion of resources allocated to player i and x1 + x2 + x3 ≤ 1). Find the core of this game.

Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Paradox Of Voting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Microeconomic Theory
Microeconomic Theory
Economics
ISBN:
9781337517942
Author:
NICHOLSON
Publisher:
Cengage
Managerial Economics: A Problem Solving Approach
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics: Applications, Strategies an…
Managerial Economics: Applications, Strategies an…
Economics
ISBN:
9781305506381
Author:
James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:
Cengage Learning