Nash Bargaining Dynamics in the Age of Artificial Intelligence and Social Media: An Empirical and Theoretical Analysis

• Author(s): Dr. Chukwuemeka Ifegwu Eke; Nnaji Nnamdi; Wakaps Charles John; Kalu Michael Onu; Osanekwu ifeoma Regina; Muazu Ismail; Alimi Aminat Yetunde; Awe Adetutu Adetola; Akinnadeju Adeleye Adetokunbo; ; Mercy Ijadusi; Adesanya Nafisat Taiwo; Ann Ebere Ejikeme
• Paper ID: 1712650
• Page: 957-966
• Published Date: 11-12-2025
• Published In: Iconic Research And Engineering Journals
• Publisher: IRE Journals
• e-ISSN: 2456-8880
• Volume/Issue: Volume 9 Issue 6 December-2025

Abstract

This paper investigates the transformation of bargaining behaviour in digital environments by integrating Nash Bargaining Theory with emerging influences shaped by artificial intelligence (AI) and social media algorithms. As social platforms increasingly mediate interpersonal and collective interactions, the logic of negotiation, conflict resolution, and cooperation is altered by algorithmic ranking systems that determine visibility, credibility, and information access. Using insights from the Nash Bargaining in the Age of AI and Social Media Dataset, this study develops a hybrid theoretical–empirical model to examine how AI-driven recommendation engines, engagement metrics, and network centrality modify bargaining power and reshape fallback positions in ways that deviate from classical Nash predictions. The findings reveal that users with algorithmically amplified exposure tend to achieve disproportionate bargaining outcomes independent of intrinsic contribution value, while those with limited visibility experience suppressed bargaining leverage even when producing high-quality inputs. These results underscore the emergence of new digital externalities and negotiation asymmetries rooted in platform governance and algorithmic design. The study contributes to behavioural economics, digital sociology, and computational game theory by demonstrating how technologically mediated ecosystems require updated bargaining models that incorporate algorithmic fairness, transparency, and participatory governance. The paper concludes with implications for platform regulation, digital policy, and the evolving political economy of AI-mediated interactions.

Keywords

Nash Bargaining, Artificial Intelligence, Social Media Algorithms, Digital Negotiation, Algorithmic Influence, Bargaining Power, Online Behaviour, Game Theory.

Citations

IRE Journals:
Dr. Chukwuemeka Ifegwu Eke, Nnaji Nnamdi; Wakaps Charles John; Kalu Michael Onu, Osanekwu ifeoma Regina; Muazu Ismail; Alimi Aminat Yetunde, Awe Adetutu Adetola; Akinnadeju Adeleye Adetokunbo; , Mercy Ijadusi; Adesanya Nafisat Taiwo; Ann Ebere Ejikeme "Nash Bargaining Dynamics in the Age of Artificial Intelligence and Social Media: An Empirical and Theoretical Analysis" Iconic Research And Engineering Journals Volume 9 Issue 6 2025 Page 957-966 https://doi.org/10.64388/IREV9I6-1712650

IEEE:
Dr. Chukwuemeka Ifegwu Eke, Nnaji Nnamdi; Wakaps Charles John; Kalu Michael Onu, Osanekwu ifeoma Regina; Muazu Ismail; Alimi Aminat Yetunde, Awe Adetutu Adetola; Akinnadeju Adeleye Adetokunbo; , Mercy Ijadusi; Adesanya Nafisat Taiwo; Ann Ebere Ejikeme "Nash Bargaining Dynamics in the Age of Artificial Intelligence and Social Media: An Empirical and Theoretical Analysis" Iconic Research And Engineering Journals, 9(6) https://doi.org/10.64388/IREV9I6-1712650