Behavioral strong implementation
: Hayashi Takashi, Jain Ritesh, Korpela Ville, Lombardi Michele
Publisher: Springer Nature
: 2023
: Economic Theory
DOI: https://doi.org/10.1007/s00199-023-01494-0
: https://doi.org/10.1007/s00199-023-01494-0
Choice behavior is rational if it is based on the maximization of some context-independent preference relation. This study re-examines the questions of implementation theory in a setting where players’ choice behavior need not be rational and coalition formation must be taken into account. Our model implies that with non-rational players, the formation of groups greatly affects the design exercise. As a by-product, we also propose a notion of behavioral efficiency and we compare it with existing notions.