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This book is a collection of essays in honor of John C. Harsanyi. Originally, we hoped that it would be ready in the year of his 70th birthday, but we did not quite succeed. It sometimes takes longer than anticipated to do things as well as one wants. I think that John Harsanyi will understand this. It is my desire to express our thanks to all those who helped to make the book possible, especially to the publishing house, the Springer Verlag. I am grateful to Hildegard Grober who assisted us in the organizational tasks connected to our editorial effort. I am deeply indebted to Horace W. Brock. His active support was extremely valuable. The results of my editorial efforts should partly be attributed to him. Reinhard Selten Table of Contents Introduction 1 I. Coopera. tive Game Theory The Consistent Shapley Value for Games without Side Payments by Michael Maschler and Guillermo Owen 5 Fictitious-Transfer Solutions in Cooperative Game Theory by Roger B. Myerson 13 The Finagle Point for Characteristic Function Games by Guillermo Owen 35 Voting by Count and Account by Bezalel Peleg 45 Fee Games: (N)TU-Games with Incomplete Information by Joachim Rosenmftller 53 A Non-Cooperative Interpretation of Value and Potential 83 by Sergiu Hart and Andreu Mas-Colell II

The four volumes of Game Equilibrium Models present applications of non-cooperative game theory. Problems of strategic interaction arising in biology, economics, political science and the social sciences in general are treated in 42 papers on a wide variety of subjects. Internationally known authors with backgrounds in various disciplines have contributed original research. The reader finds innovative modelling combined with advanced methods of analysis. The four volumes are the outcome of a research year at the Center for Interdisciplinary Studies of the University of Bielefeld. The close interaction of an international interdisciplinary group of researchers has produced an unusual collection of remarkable results of great interest for everybody who wants to be informed on the scope, potential, and future direction of work in applied game theory. Volume IV Social and Political Interaction contains game equilibrium models focussing on social and political interaction within communities or states or between states, i.e. national and international social and political interaction. Specific aspects of those interactions are modelled as non-cooperative games and their equilibria are analysed

The four volumes of Game Equilibrium Models present applications of non-cooperative game theory. Problems of strategic interaction arising in biology, economics, political science and the social sciences in general are treated in 42 papers on a wide variety of subjects. Internationally known authors with backgrounds in various disciplines have contributed original research. The reader finds innovative modelling combined with advanced methods of analysis. The four volumes are the outcome of a research year at the Center for Interdisciplinary Studies of the University of Bielefeld. The close interaction of an international interdisciplinary group of researchers has produced an unusual collection of remarkable results of great interest for everybody who wants to be informed on the scope, potential, and future direction of work in applied game theory. Volume III Strategic Bargaining contains ten papers on game equilibrium models of bargaining. All these contributions look at bargaining situations as non-cooperative games. General models of two-person and n-person bargaining are explored

The four volumes of Game Equilibrium Models present applications of non-cooperative game theory. Problems of strategic interaction arising in biology, economics, political science and the social sciences in general are treated in 42 papers on a wide variety of subjects. Internationally known authors with backgrounds in various disciplines have contributed original research. The reader finds innovative modelling combined with advanced methods of analysis. The four volumes are the outcome of a research year at the Center for Interdisciplinary Studies of the University of Bielefeld. The close interaction of an international interdisciplinary group of researchers has produced an unusual collection of remarkable results of great interest for everybody who wants to be informed on the scope, potential, and future direction of work in applied game theory. Volume II Methods, Morals and Markets contains areas of research which will attract the interest of economists, political scientists, mathematicians and philosophers. The papers deal with the methodology of analysis of games, game theoretic contributions to fundamental ethical questions facing societies and game-theoretic analyses of market environments

The four volumes of Game Equilibrium Models present applications of non-cooperative game theory. Problems of strategic interaction arising in biology, economics, political science and the social sciences in general are treated in 42 papers on a wide variety of subjects. Internationally known authors with backgrounds in various disciplines have contributed original research. The reader finds innovative modelling combined with advanced methods of analysis. The four volumes are the outcome of a research year at the Center for Interdisciplinary Studies of the University of Bielefeld. The close interaction of an international interdisciplinary group of researchers has produced an unusual collection of remarkable results of great interes for everybody who wants to be informed on the scope, potential, and future direction of work in applied game theory. Volume I Evolution and Game Dynamics mainly deals with dynamic stability with respect to evolutionary processes. The book offers not only theoretical classification of the foundations of evolutionary game theory, but also exciting new biological applications. Volume II Methods, Morals and Markets contains areas of research which will attract the interest of economists, political scientists, mathematicians and philosophers. The papers deal with the methodology of analysis of games, game theoretic contributions to fundamental ethical questions facing societies and game-theoretic analyses of market environments. Volume III Strategic Bargaining contains ten papers on game equilibrium models of bargaining. All these contributions look at bargaining situations as non-cooperative games. General models of two-person and n-person bargaining are explored. Volume IV Social and Political Interaction contains game equilibrium models focussing on social and political interaction within communities or states or between states, i.e. national and international social and political interaction. Specific aspects of those interactions are modelled as non-cooperative games and their equilibria are analysed

1. Reexamination of the Perfectness Concept for Equilibrium Points in Extensive Games -- 2. The Chain Store Paradox -- 3. A Note on Evolutionarily Stable Strategies in Asymmetric Animal Conflicts -- 4. A Simple Game Model of Kidnapping -- 5. A Simple Model of Imperfect Competition where 4 Are Few and 6 Are Many -- 6. A Model of Oligopolistic Size Structure and Profitability -- 7. Are Cartel Laws Bad for Business? -- 8. Bargaining under Incomplete Information — A Numerical Example -- 9. A Noncooperative Model of Characteristic-Function Bargaining -- 10. The Equity Principle in Economic Behavior -- 11. Coalition Probabilities in a Non-Cooperative Model of Three-Person Quota-Game Bargaining -- 12. Equal Division Payoff Bounds for Three-Person Characteristic Function Experiments -- Author Index.