We consider a generalized assignment model where the payoffs depend on
the number of matchings that take place. We formulate a simple non-co
operative game and look for subgame perfect equilibrium of this model.
Existence is established for a wide class of games. We also look at a
refinement criterion which, for the standard assignment model, select
s the p-optimal outcome as the unique equilibrium. We then apply these
concepts to a model of technology transfer between domestic and forei
gn firms.