Game theory | Cooperative games

Core (game theory)

In cooperative game theory, the core is the set of feasible allocations that cannot be improved upon by a subset (a coalition) of the economy's agents. A coalition is said to improve upon or block a feasible allocation if the members of that coalition are better off under another feasible allocation that is identical to the first except that every member of the coalition has a different consumption bundle that is part of an aggregate consumption bundle that can be constructed from publicly available technology and the initial endowments of each consumer in the coalition. An allocation is said to have the core property if there is no coalition that can improve upon it. The core is the set of all feasible allocations with the core property. (Wikipedia).

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Related pages

If and only if | Glossary of game theory | Knaster–Kuratowski–Mazurkiewicz lemma | Pareto efficiency | Cooperative game theory | Game theory | Empty set | Feasible region | John von Neumann | Bondareva–Shapley theorem | Transferable utility | Set (mathematics) | Edgeworth conjecture | Imputation (game theory) | Zero-sum game | Agent (economics) | Logical equivalence | Convex set | Closed set | Nakamura number