Nota di Lavoro, Fondazione Eni Enrico Mattei 60.2007
Linking of repeated games and exchange of concessions in fields of relative strength may lead to more cooperation and to Pareto improvements relative to the situation where each game is played separately. In this paper we formalize these statements, provide some general results concerning the conditions for more cooperation and Pareto improvements to materialize or not and analyze the relation between both. Special attention is paid to the role of asymmetries.
Environmental Policy Linking Folk Theorem Tensor Game Prsioners' Dilemma Full Cooperation Pareto Efficiency Minkowski Sum Vector Maximum Convex Analysis