The unprecedented growth of mobile data traffic challenges the performance and economic viability of today's cellular networks, and calls for novel network architectures and communication solutions. Data offloading through third-party WiFi or femtocell access points (APs) can effectively alleviate the cellular network congestion in a low operational and capital expenditure. This solution requires the cooperation and agreement of mobile cellular network operators (MNOs) and AP owners (APOs). In this paper, we model and analyze the interaction among one MNO and multiple APOs (for the amount of MNO's offloading data and the respective APOs' compensations) by using the Nash bargaining theory. Specifically, we introduce a one-tomany bargaining game among the MNO and APOs, and analyze the bargaining solution (game equilibrium) systematically under two different bargaining protocols: (i) sequential bargaining, where the MNO bargains with APOs sequentially, with one APO at a time, in a given order, and (ii) concurrent bargaining, where the MNO bargains with all APOs concurrently. We quantify the benefits for APOs when bargaining sequentially and earlier with the MNO, and the losses for APOs when bargaining concurrently with the MNO. We further study the group bargaining scenario where multiple APOs form a group bargaining with the MNO jointly, and quantify the benefits for APOs when forming such a group. Interesting, our analysis indicates that grouping of APOs not only benefits the APOs in the group, but may also benefit some APOs not in the group. Our results shed light on the economic aspects and the possible outcomes of the MNO/APOs interactions, and can be used as a roadmap for designing policies for this promising data offloading solution.
We study perfect information bilateral bargaining game with an infinite alternating-offers procedure, in which we add an assumption of history dependent preference. A player will devalue a share which gives her strictly lower discounted utility than what she was offered in earlier stages of the bargaining. Under the strong version of the assumption, we characterize the essentially unique subgame perfect equilibrium path, which involves considerable delay and efficiency loss. We give different interpretations of the assumption. The assumption can also be weakened under the interpretation of loss aversion. We provide a sufficient condition under which the feature of the equilibrium from strong assumption remains. JEL-codes: C72, C78.
This study examined the association between Veterans Administration (VA)-Medicare dual beneficiaries' HMO enrollment and factors including sociodemographics, access/attachment to VA, self-reported health status, and characteristics of Medicare HMO markets. The results showed that availability of Medicare HMOs and less access to VA care were the major predictors of VA-Medicare dual beneficiaries' HMO enrollment. Other significant predictors of HMO enrollment were age (65-69), having no college education, VA priority status (low income; less than 50 percent service disability). There was some evidence of favorable selection measured by self-reported health status. The identified HMO enrollment profile can position VA better in attracting and managing the care of these beneficiaries and in meeting potentially large shifts in their need for VA care if Medicare benefits or policies change markedly.
In a modified version of Rubinstein's bargaining game, two players expect the random arrival of a third party, from whom one of them will receive an interim disagreement payoff in every period until an agreement is finally reached. Each player thinks that his own probability of receiving the disagreement payoff is greater than that assessed by the other player; that is, they are mutually optimistic. We show that when the level of optimism is high and not very durable, equilibrium agreement is delayed until the uncertainty is fully resolved. The efficiency loss caused by such a delay remains substantial when the players are extremely patient.
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