A note on the alternating offer method

摘要

In determining the stationary subgame perfect equilibria in alternating offer bargaining procedures, a strictly monotonic equation is solved based on the concavity of the Pareto frontier. In this paper, the concavity assumption on the Pareto frontier is relaxed by finding the sufficient and necessary condition for the monotonicity of the resulting equations. Two equivalent conditions are presented. One of them can be considered as a special parametrized convexity concept.