A note on the equal division kernel and the α‐power model

Abstract

The equal division kernel and the α‐power solution are two recently proposed theories of coalition formation in n‐person characteristic function games with sidepayments. A closed form solution for payoff disbursement is derived from the α‐power model for n‐person games with only 1, n‐1, and n‐person permissible coalitions and no weak players. It is shown that for this class of games, which are frequently employed to experimentally test theories of coalition formation, the equal division kernel is a special case of the α‐power model with α = 1/2.