Coalition Configurations and the Banzhaf Index

In this paper, we suppose that players join in coalitions and form a coalition configuration, and we provide a generalization of the normalized Banzhaf-Coleman (1965, 1971) index to this framework.     

Stable syndicates of factor owners and distribution of social output: a Shapley value approach

The purpose of this paper is to examine the incentive of a player to join a syndicate in an environment of team production and payoff distribution according to Shapley value. We consider an economy in which a single output is produced by an increasing returns to scale production function using two inputs: labor and capital. By assuming that syndicates of factor owners can form, we are interested in their stability, i.e., the willingness of the members of the syndicate to stay in the syndicate. Our analysis, based on the Shapley value, allows us to find a fair imputation of the gains of cooperation and the conditions under which syndicates are stable.     

Axiomatizations of public good indices with a priori unions

We provide axiomatizations for six variants of the Public Good Index (PGI) for games with a priori unions. Two such coalitional PGIs have been introduced and alternatively axiomatized in Alonso-Meijide et al. (Working paper 18, 2008b). They assign power in two steps. In the first step, power is distributed between unions according to the PGI of the quotient game. In a second step, the Solidarity PGI splits power equally among union members while the Owen Extended PGI takes into account so-called essential parts. The other four coalitional PGIs have been introduced in Holler and Nohn (Homo Oeconomicus 26, 2009). The first variant elaborates the original idea of Holler (Political Studies 30:262–271, 1982) that the coalitional value is a public good and only minimal winning coalitions of the quotient game are relevant. The remaining three variants also use the two-step distribution where, however, on the member stage they take into account the possibilities of players to threaten their partners through leaving their union.     

The exact bias of the Banzhaf measure of power when votes are neither equiprobable nor independent

This paper discusses a numerical scheme for computing the Banzhaf swing probability when votes are neither equiprobable nor independent. Examples indicate a substantial bias in the Banzhaf measure of voting power if neither assumption is met. The analytical part derives the exact magnitude of the bias due to the common probability of an affirmative vote deviating from one half and due to common correlation in unweighted simple-majority games. The former bias is polynomial, the latter is linear. A modified square-root rule for two-tier voting systems that takes into account both the homogeneity and the size of constituencies is also provided.     

Reconciling marginalism with egalitarianism: consistency, monotonicity, and implementation of egalitarian Shapley values

One of the main issues in economic allocation problems is the trade-off between marginalism and egalitarianism. In the context of cooperative games this trade-off can be framed as one of choosing to allocate according to the Shapley value or the equal division solution. In this paper we provide three different characterizations of egalitarian Shapley values being convex combinations of the Shapley value and the equal division solution. First, from the perspective of a variable player set, we show that all these solutions satisfy the same reduced game consistency. Second, on a fixed player set, we characterize this class of solutions using monotonicity properties. Finally, towards a strategic foundation, we provide a non-cooperative implementation for these solutions which only differ in the probability of breakdown at a certain stage of the game. These characterizations discover fundamental differences as well as intriguing connections between marginalism and egalitarianism.     

Volunteering and the strategic value of ignorance

Private provision of public goods often takes place as a war of attrition: individuals wait until someone else volunteers and provides the good. After a certain time period, however, one individual may be randomly selected. If the individuals are uncertain about their cost of provision, but can find out about this cost ahead of the volunteering game, a strategic value is attached to the information, and individuals may prefer not to learn their cost of provision. If the time horizon is sufficiently short, in equilibrium only one individual may acquire information about his cost. For a long time horizon, acquiring information is strictly dominant. The time limit is an important instrument in influencing the efficiency of the volunteering game.     

Fetishism and the social value of objects1

The idea of the fetish has a particular presence in the writings of both Marx and Freud. It implies for these two theorists of the social, a particular form of relation between human beings and objects. In the work of both, the idea of the fetish involves attributing properties to objects that they do not ‘really’ have and that should correctly be recognised as human. While Marx's account of fetishism addresses the exchange-value of commodities at the level of the economic relations of production, it fails to deal in any detail with the use-value or consumption of commodities. In contrast Freud's concept of the fetish as a desired substitute for a suitable sex object explores how objects are desired and consumed. Drawing on both Marx and Freud, Baudrillard breaks with their analyses of fetishism as demonstrating a human relation with unreal objects. He explores the creation of value in objects through the social exchange of sign values, showing how objects are fetishised in ostentation. This paper argues that while Baudrillard breaks with the realism characteristic of Marx's and Freud's analyses of fetishism, he does not go far enough in describing the social and discursive practices in which objects are used and sometimes transformed into fetishes. It is proposed that the fetishisation of objects involves an overdetermination of their social value through a discursive negotiation of the capacities of objects that stimulates fantasy and desire for them.     

In search of value: Vienna School of Art History,Austrian value theory and the others

The search of value that developed toward the end of the 19th century may be interpreted as peculiar to Austrian economists seeking to analyze and define the problem of value theory. Nevertheless, this interpretation leaves aside certain other significant disciplines where the idea and methods of the search of value were applied and came to fruition. One of the disciplines alluded to was art history. Alois Riegl, a prominent member of the Vienna School of Art History, created an original and fully applicable theory of monuments resulting from his thoughts on the question of cultural heritage preservation in Austria–Hungary. His theory of value is largely consonant with not only the value theory proposed by the Austrian economists, but also with the current theories of culture economics; in this respect, it is important to note that Riegl's theory could be interpreted similarly or identically within different disciplines of the Arts.     

Social capital and the added value of social relations

Almost all empirical research reveals that social capital is a factor that enhances public goods, but scholars are divided into two strands of thought. According to the first strand, the enhancement of public goods does not need any network of social relations, while, according to the second, enhancement depends on the existence and good functioning of relational networks, to the point that it consists in the creation of social networks. Which one is right? In order to clarify the issue, one should ask: can a social relation have any added social value? If so, how can we conceive of the added social value of social relations, and how can we measure it? The author claims that the added social value of social relations can be observed in those processes through which social capital and public (relational) goods (re)generate or elide each other. These processes can be analyzed as morphogenetic cycles that work in temporal sequences and are not circular or recursive. By adopting this perspective, we can see and measure the added social value of social relations in primary and secondary networks, leading to the emergence of public goods. The relational approach can give abundant evidence as to how and why different public goods are produced and/or enhanced depending on the different added social value of the social relations that constitute them.     

Trust as risk and the foundation of investment value

Trust is an essential ingredient of the investment process because investing is complex, the world contains irreducible uncertainty, and humans are naturally predisposed to cooperate. Traditional financial models inappropriately treat trust as probability or implicitly ignore it. This paper argues that trust has both cognitive and affective attributes that make it an important determinant of perceived investment risk. Specifically, perceived risk varies inversely with trust. This paper also discusses how trust offers a logical and parsimonious explanation for many financial asset pricing anomalies. Trust is the unseen faith underlying investment value.     

Struggles for value: value practices, injustice, judgment, affect and the idea of class

This paper is about the struggle for value by those who live intensified devaluation in the new conditions of legitimation and self-formation, by which the self is required to repeatedly reveal its value through its accrual and investment in economic, symbolic, social and cultural capitals. It explores how this value struggle is experienced: felt affectively, known and spoken through discourses of injustice. Drawing on a small research project, which uses the British New Labour government's Respect Agenda as an evocative device to provoke discussion, the paper details how those positioned as already marginal to the dominant symbolic, presented as 'useless' subjects rather than 'subjects of value' of the nation, generate alternative ways for making value. It examines how the experience of injustice generates affective responses expressed as 'ugly-feelings'. The conversion of these 'ugly feelings' into articulations of 'just-talk' reveals how different understandings of value, of what matters and what counts, come into effect and circulate alongside the dominant symbolic. The issue that most angered working-class respondents is how they are positioned, judged, blamed and held responsible for an inheritance over which they have no control, 'an accident of birth'. They were acutely aware of how they were constantly judged and de-legitimated and how practices such as selfishness and greed were legitimate for others. Showing how they refuse to authorize those they consider lacking in value but with authority and in a position to judge, the paper demonstrates how class relations are lived through a struggle, not only against economic limitation but a struggle against unjustifiable judgment and authority and for dignified relationality. The paper reveals a struggle at the very core of ontology, demonstrating how the denigrated defend and make their lives liveable; an issue at the heart of current austerity politics which may have increased significance for the future.     

Rediscovering the value of urban rivers

Rivers commonly serve as defining, founding features of human settlements, yet urbanisation has degraded them, often to the extent that they no longer provide the services to society from which the settlements developed. Urban river restoration has expanded in recent years and part of this can be attributed to the increased recognition of the interconnected benefits that restored ecosystems can provide to society. This paper reviews the impact of urbanisation on rivers and the ecosystem services that they provide, and explores the ecosystem approach to restoration. Techniques and tools for the practical application of the ecosystem services approach in conservation are considered, with reference to case studies. There is a need to internalise ecosystem service insights into pragmatic, transparent and readily-used and understood planning tools, based on the capacities of a range of ecosystem services in river corridors. This is necessary if we are to avoid the continued erosion of critical resources such as rivers, rediscovering their multiple values to society, and to accelerate the translation of these sustainability concepts into applied tools.     

Birds and the urban environment: the value of green walls

The simplest form of a ‘green wall’ is where self-adhering climbing plants colonise vertical surfaces, an approach that has been used on buildings for millennia (Koehler 2008). Green walls in urban areas are now well-known for their insulation and air cleaning capacities, but little is known of their value as habitats for wildlife. This paper presents preliminary findings of their value for urban birds. The abundance of birds, on 27 green walls and within the area enclosed by a semi-circle of 10 m radius immediately surrounding them, was compared with 27 walls without vegetation (bare walls) and similar surroundings. The study was carried out during the summer and winter of 2010–11 in north Staffordshire (UK). Birds exploited the green walls for various reasons (including nesting, food and shelter) but were never found on bare control walls. The roofs of buildings and the surrounding vegetation were used by birds in both regimes, but birds were more abundant in areas with green walls. The use of green walls by birds depended on the time of day, the season and whether the vegetation was evergreen or deciduous. The birds’ activity was always restricted to the upper half of the wall vegetation. Green walls and the immediate surroundings were used by some species of conservation concern in Great Britain (e.g. Passer domesticus and Sturnus vulgaris). Therefore, encouraging householders and businesses to grow vegetation up walls may be an effective way of providing a range of resources for birds in urban areas without the need for expensive additional land-take.