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Add intro and conclusions to chapter 1
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stanmart committed Sep 29, 2024
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Expand Up @@ -209,9 +209,43 @@ The value of being indispensable

## Motivation

::: {.fragment}
- Using cooperative game theory to **model bargaining**
- Has precedents in labor and IO literature
- General solution concepts are **flexible** but often **not very tractable**
:::

::: {.fragment}
- Focus on **one indispensable player / many small players**
- Economically **relevant**
- Even general solution concepts can be **tractable** in this case
:::

::: {.fragment}
- **Generalize** existing results
- Use **random order values** instead of the Shapley value or weighted values
- **Relax** the **indispensable player** assumption
- New results for **heterogeneous small players**
:::


## Literature

::: {.fragment}
- **Oceanic games** (theoretical)
- Focus on fundamental questions, such as existence and uniqueness
- E.g., @milnor1978values, @hart1973values, **@fogelman1980asymptotic**
- This paper focuses on a more specific setting to derive more concrete results
:::

::: {.fragment}
- **IO and labor economics** (applied)
- Intermediation, vertical integration, multi-sided markets, wage bargaining
- Examples of oceanic games: **@stole1996intra**, @levy1997individual
- This paper generalizes those results in a more abstract setting
- An example application is based on @armstrong2006competition
:::


## Simplest model

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::::


## Conclusion

::: {.fragment}
- Provide a **tool-kit** for modeling **bargaining** in settings with one (few) **central player**(s) and many small ones
- Use **random order values as a general framework**
- **Relax** the **indispensable player** assumption
- **Generalize** existing results for the **heterogeneous small player case**
- Simple example application to two-sided markets (omitted here)
:::

::: {.fragment}
- Random order values are a **convenient tool** for modeling bargaining
- **Analytically tractable**
- More **flexible** than the Shapley value or the we
- **Sensible** in terms of comparative statics
:::



<!-- CHAPTER 2 -->
# Chapter 2 – Application
Hybrid platforms and bargaining power
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