Article ID: | iaor20001674 |
Country: | Netherlands |
Volume: | 113 |
Issue: | 1 |
Start Page Number: | 193 |
End Page Number: | 205 |
Publication Date: | Feb 1999 |
Journal: | European Journal of Operational Research |
Authors: | Tijs Stef, Borm Peter, Suijs Jeroen, Waegenaere Anja De |
This paper introduces a new class of cooperative games arising from cooperative decision making problems in a stochastic environment. Various examples of decision making problems that fall within this new class of games are provided. For a class of games with stochastic payoffs where the preferences are of a specific type, a balancedness concept is introduced. A variant of Farkas' lemma is used to prove that the core of a game within this class is non-empty if and only if the game is balanced. Further other types of preferences are discussed. In particular, the effects the preferences have on the core of these games are considered.