A dynamic solution in N-person cooperative game theory

We formulate a cooperative game as an extended form game in which each player in turn proposes payoffs to a coalition over M steps. Payoffs at time t are discounted by a penalty function f(t). If all players in a coalition agree to their payoffs, they receive them. Under a convergence hypothesis verified by computer for three players in many cases, we compute the payoffs resulting from a coalition pattern and give necessary conditions for particular patterns. The resulting solution is related to the Nash bargaining solution and the competitive solution.