Chapter XI
Bargaining
0 of 5 lessons complete
About this chapter
Splitting a pie. Threat points. The Nash bargaining solution. Rubinstein alternating offers. Why negotiations fail.
What you will learn
- Define the bargaining problem and the disagreement point.
- Apply the Nash bargaining solution to split a surplus.
- Understand Rubinstein alternating-offers dynamics.
- See why patience is bargaining power.
- Recognize when bargaining breaks down.
Lessons
1.The bargaining problem๐
2.Splitting the surplus๐
3.The Nash bargaining solution๐
4.Ultimatum & alternating offers๐
5.When bargaining breaks down๐