[go: up one dir, main page]
More Web Proxy on the site http://driver.im/
IDEAS home Printed from https://ideas.repec.org/p/pur/prukra/1258.html
   My bibliography  Save this paper

The Robustness of Enemy-of-My-Enemy-is-My-Friend Alliances

Author

Listed:
  • David Rietzke
  • Brian Roberson
Abstract
This paper examines the robustness of alliance formation in a three-player, two-stage game in which each of two players compete against a third player in disjoint sets of contests. Although the players with the common opponent share no common interests, we find that under the lottery contest success function (CSF) there exists a range of parameter configurations in which the players with the common opponent have incentive to form an alliance involving a pre-conflict transfer of resources. Models that utilize the lottery CSF typically yield qualitatively different results from those arising in models with the auction CSF (Fang 2002). However, under the lottery and the auction CSFs, the parameter configurations within which players with a common opponent form an alliance are closely related. Our results, thus, provide a partial robustness result for enemy-of-my-enemy-is-my-friend alliances.

Suggested Citation

  • David Rietzke & Brian Roberson, 2010. "The Robustness of Enemy-of-My-Enemy-is-My-Friend Alliances," Purdue University Economics Working Papers 1258, Purdue University, Department of Economics.
    • Handle: RePEc:pur:prukra:1258
    as

    Download full text from publisher

    File URL: https://business.purdue.edu/research/Working-papers-series/2010/1258.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Konrad, Kai A., 2009. "Strategy and Dynamics in Contests," OUP Catalogue, Oxford University Press, number 9780199549603.
    2. Alex Robson, 2005. "Multi-Item Contests," ANU Working Papers in Economics and Econometrics 2005-446, Australian National University, College of Business and Economics, School of Economics.
    3. Todd Sandler, 1999. "Alliance Formation, Alliance Expansion, and the Core," Journal of Conflict Resolution, Peace Science Society (International), vol. 43(6), pages 727-747, December.
    4. Brian Roberson & Dmitriy Kvasov, 2012. "The non-constant-sum Colonel Blotto game," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 51(2), pages 397-433, October.
    5. Fang, Hanming, 2002. "Lottery versus All-Pay Auction Models of Lobbying," Public Choice, Springer, vol. 112(3-4), pages 351-371, September.
    6. Murdoch, James C. & Sandler, Todd, 1984. "Complementarity, free riding, and the military expenditures of NATO allies," Journal of Public Economics, Elsevier, vol. 25(1-2), pages 83-101, November.
    7. Michael R. Baye & Dan Kovenock & Casper G. Vries, 2008. "Rigging the lobbying process: An application of the all-pay auction," Springer Books, in: Roger D. Congleton & Kai A. Konrad & Arye L. Hillman (ed.), 40 Years of Research on Rent Seeking 2, pages 331-336, Springer.
    8. Todd Sandler, 1993. "The Economic Theory of Alliances," Journal of Conflict Resolution, Peace Science Society (International), vol. 37(3), pages 446-483, September.
    9. Klumpp, Tilman & Polborn, Mattias K., 2006. "Primaries and the New Hampshire Effect," Journal of Public Economics, Elsevier, vol. 90(6-7), pages 1073-1114, August.
    10. TOSHIHIRO IHORI & MARTIN C. McGUIRE, 2007. "Collective Risk Control and Group Security: The Unexpected Consequences of Differential Risk Aversion," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 9(2), pages 231-263, April.
    11. Michael R. Baye & Dan Kovenock & Casper G. Vries, 1996. "The all-pay auction with complete information," Springer Books, in: Roger D. Congleton & Arye L. Hillman & Kai A. Konrad (ed.), 40 Years of Research on Rent Seeking 1, pages 209-223, Springer.
    12. Kvasov, Dmitriy, 2007. "Contests with limited resources," Journal of Economic Theory, Elsevier, vol. 136(1), pages 738-748, September.
    13. Konrad, Kai A. & Kovenock, Dan, 2009. "Multi-battle contests," Games and Economic Behavior, Elsevier, vol. 66(1), pages 256-274, May.
    14. Bossert, Walter & Brams, Steven J. & Kilgour, D. Marc, 2002. "Cooperative vs non-cooperative truels: little agreement, but does that matter?," Games and Economic Behavior, Elsevier, vol. 40(2), pages 185-202, August.
    15. Vincent Anesi & Philippe De Donder, 2011. "Secondary issues and party politics: an application to environmental policy," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 36(3), pages 519-546, April.
    16. Dan Kovencok & Michael J. Mauboussin & Brian Roberson, 2010. "Asymmetric Conflicts with Endogenous Dimensionality," Korean Economic Review, Korean Economic Association, vol. 26, pages 287-305.
    17. Sergiu Hart, 2008. "Discrete Colonel Blotto and General Lotto games," International Journal of Game Theory, Springer;Game Theory Society, vol. 36(3), pages 441-460, March.
    18. Daniel G. Arce M. & Todd Sandler, 2001. "A Cooperative Game Theory of Noncontiguous Allies," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 3(4), pages 391-411, October.
    19. Yeon-Koo Che & Ian L. Gale, 2008. "Caps on Political Lobbying," Springer Books, in: Roger D. Congleton & Kai A. Konrad & Arye L. Hillman (ed.), 40 Years of Research on Rent Seeking 2, pages 337-345, Springer.
    20. Baye, Michael R & Kovenock, Dan & de Vries, Casper G, 1994. "The Solution to the Tullock Rent-Seeking Game When R Is Greater Than 2: Mixed-Strategy Equilibria and Mean Dissipation Rates," Public Choice, Springer, vol. 81(3-4), pages 363-380, December.
    21. Arye L. Hillman & John G. Riley, 1989. "Politically Contestable Rents And Transfers," Economics and Politics, Wiley Blackwell, vol. 1(1), pages 17-39, March.
    22. repec:bla:kyklos:v:30:y:1977:i:3:p:443-60 is not listed on IDEAS
    23. Lawrence Friedman, 1958. "Game-Theory Models in the Allocation of Advertising Expenditures," Operations Research, INFORMS, vol. 6(5), pages 699-709, October.
    24. Vincent Anesi, 2009. "Moral hazard and free riding in collective action," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 32(2), pages 197-219, February.
    25. Skaperdas, Stergios, 1998. "On the Formation of Alliances in Conflict and Contests," Public Choice, Springer, vol. 96(1-2), pages 25-42, July.
    26. Rafael Hortala-Vallve & Aniol Llorente-Saguer, 2012. "Pure strategy Nash equilibria in non-zero sum colonel Blotto games," International Journal of Game Theory, Springer;Game Theory Society, vol. 41(2), pages 331-343, May.
    27. Russell Golman & Scott Page, 2009. "General Blotto: games of allocative strategic mismatch," Public Choice, Springer, vol. 138(3), pages 279-299, March.
    28. Hiller, Timo, 2011. "Alliance Formation and Coercion in Networks," Climate Change and Sustainable Development 108251, Fondazione Eni Enrico Mattei (FEEM).
    29. Michael Finus & Bianca Rundshagen, 2009. "Membership rules and stability of coalition structures in positive externality games," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 32(3), pages 389-406, March.
    30. Szentes, Balazs & Rosenthal, Robert W., 2003. "Beyond chopsticks: Symmetric equilibria in majority auction games," Games and Economic Behavior, Elsevier, vol. 45(2), pages 278-295, November.
    31. James C. Murdoch & Todd Sandler, 1982. "A Theoretical and Empirical Analysis of NATO," Journal of Conflict Resolution, Peace Science Society (International), vol. 26(2), pages 237-263, June.
    32. Brian Roberson, 2006. "The Colonel Blotto game," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 29(1), pages 1-24, September.
    33. Dan Kovenock J. & Brian Roberson, 2010. "Conflicts with Multiple Battlefields," CESifo Working Paper Series 3165, CESifo.
    34. Todd Sandler, 1977. "Impurity Of Defense: An Application To The Economics Of Alliances," Kyklos, Wiley Blackwell, vol. 30(3), pages 443-460, August.
    35. Snyder, James M, 1989. "Election Goals and the Allocation of Campaign Resources," Econometrica, Econometric Society, vol. 57(3), pages 637-660, May.
    36. Brams, Steven J. & Kilgour, D. Mark, 1997. "The Truel," Working Papers 97-05, C.V. Starr Center for Applied Economics, New York University.
    37. Timo Hiller, 2011. "Alliance Formation and Coercion in Networks," Working Papers 2011.42, Fondazione Eni Enrico Mattei.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Subhasish M Chowdhury & Dan Kovenock & David Rojo Arjona & Nathaniel T Wilcox, 2021. "Focality and Asymmetry in Multi-Battle Contests," The Economic Journal, Royal Economic Society, vol. 131(636), pages 1593-1619.
    2. Hiller, Timo, 2017. "Friends and enemies: a model of signed network formation," Theoretical Economics, Econometric Society, vol. 12(3), September.
    3. Matthew O. Jackson & Stephen Nei, 2014. "Networks of Military Alliances, Wars, and International Trade," Working Papers 2014.46, Fondazione Eni Enrico Mattei.
    4. Kris De Jaegher, 2021. "Common‐Enemy Effects: Multidisciplinary Antecedents And Economic Perspectives," Journal of Economic Surveys, Wiley Blackwell, vol. 35(1), pages 3-33, February.
    5. Bozbay, Irem & Vesperoni, Alberto, 2018. "A contest success function for networks," Journal of Economic Behavior & Organization, Elsevier, vol. 150(C), pages 404-422.
    6. Timo Hiller, 2012. "Friends and Enemies: A Model of Signed Network Formation," Bristol Economics Discussion Papers 12/629, School of Economics, University of Bristol, UK.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kimbrough, Erik O. & Laughren, Kevin & Sheremeta, Roman, 2020. "War and conflict in economics: Theories, applications, and recent trends," Journal of Economic Behavior & Organization, Elsevier, vol. 178(C), pages 998-1013.
    2. Emmanuel Dechenaux & Dan Kovenock & Roman Sheremeta, 2015. "A survey of experimental research on contests, all-pay auctions and tournaments," Experimental Economics, Springer;Economic Science Association, vol. 18(4), pages 609-669, December.
    3. Shakun D. Mago & Roman M. Sheremeta, 2017. "Multi‐battle Contests: An Experimental Study," Southern Economic Journal, John Wiley & Sons, vol. 84(2), pages 407-425, October.
    4. Dan Kovenock & Brian Roberson & Roman M. Sheremeta, 2019. "The attack and defense of weakest-link networks," Public Choice, Springer, vol. 179(3), pages 175-194, June.
    5. Dan Kovenock & Brian Roberson, 2018. "The Optimal Defense Of Networks Of Targets," Economic Inquiry, Western Economic Association International, vol. 56(4), pages 2195-2211, October.
    6. Dan Kovenock & Brian Roberson, 2021. "Generalizations of the General Lotto and Colonel Blotto games," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 71(3), pages 997-1032, April.
    7. Dan Kovenock & Brian Roberson, 2015. "The Optimal Defense of Network Connectivity," Working Papers 15-24, Chapman University, Economic Science Institute.
    8. Boyer, Pierre C. & Konrad, Kai A. & Roberson, Brian, 2017. "Targeted campaign competition, loyal voters, and supermajorities," Journal of Mathematical Economics, Elsevier, vol. 71(C), pages 49-62.
    9. Aner Sela, 2016. "Two Stage Contests With Effort-Dependent Rewards," Working Papers 1612, Ben-Gurion University of the Negev, Department of Economics.
    10. Brian Roberson & Dmitriy Kvasov, 2012. "The non-constant-sum Colonel Blotto game," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 51(2), pages 397-433, October.
    11. Subhasish M Chowdhury & Dan Kovenock & David Rojo Arjona & Nathaniel T Wilcox, 2021. "Focality and Asymmetry in Multi-Battle Contests," The Economic Journal, Royal Economic Society, vol. 131(636), pages 1593-1619.
    12. Duffy, John & Matros, Alexander, 2017. "Stochastic asymmetric Blotto games: An experimental study," Journal of Economic Behavior & Organization, Elsevier, vol. 139(C), pages 88-105.
    13. Dan Kovenock & Sudipta Sarangi & Matt Wiser, 2015. "All-pay 2 $$\times $$ × 2 Hex: a multibattle contest with complementarities," International Journal of Game Theory, Springer;Game Theory Society, vol. 44(3), pages 571-597, August.
    14. Ewerhart, Christian, 2017. "Contests with small noise and the robustness of the all-pay auction," Games and Economic Behavior, Elsevier, vol. 105(C), pages 195-211.
    15. Aner Sela, 2017. "Two-stage contests with effort-dependent values of winning," Review of Economic Design, Springer;Society for Economic Design, vol. 21(4), pages 253-272, December.
    16. Deck, Cary & Sarangi, Sudipta & Wiser, Matt, 2017. "An experimental investigation of simultaneous multi-battle contests with strategic complementarities," Journal of Economic Psychology, Elsevier, vol. 63(C), pages 117-134.
    17. John Duffy & Alexander Matros, 2013. "Stochastic Asymmetric Blotto Games: Theory and Experimental Evidence," Working Paper 509, Department of Economics, University of Pittsburgh, revised Nov 2013.
    18. Kaplan, Todd R. & Zamir, Shmuel, 2015. "Advances in Auctions," Handbook of Game Theory with Economic Applications,, Elsevier.
    19. Dan Kovenock & Brian Roberson, 2009. "Is the 50-State Strategy Optimal?," Journal of Theoretical Politics, , vol. 21(2), pages 213-236, April.
    20. Klumpp, Tilman & Konrad, Kai A. & Solomon, Adam, 2019. "The dynamics of majoritarian Blotto games," Games and Economic Behavior, Elsevier, vol. 117(C), pages 402-419.

    More about this item

    Keywords

    Alliance Formation; Contests; Economics of Alliances; Conflict;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pur:prukra:1258. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Business PHD (email available below). General contact details of provider: https://edirc.repec.org/data/kspurus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.