Game theoretic analysis of bargaining models

Bargaining models define a special class of strategic games. In first part of the paper the bargaining games with unique and multiple equilibria as well as with and without incomplete information are investigated. It is argued that the more natural bargaining models are typically with incomplete information and multiple equilibria. The second part of the paper is devoted to a definite bargaining problem, namely how to sell a used car of bad quality. The game of asymmetric incomplete information is analysed using the concept of uniformly perfect equilibria in pure and mixed strategies. It is shown that the multiplicity of uniformly perfect equilibria is a genetic phenomenon.