"Introduction to Repeated Games with Private Monitoring"
We present a brief overview of recent developments on discounted repeated games with (imperfect) private monitoring. The literature explores the possibility of cooperation in a long-term relationship, where each agent receives imperfect private information about the opponents' actions. Although this class of games admits a wide range of applications such as collusion under secret price-cutting, exchange of goods with uncertain quality, and observation errors, it has fairly complex mathematical structure due to the lack of common information shared by players. This is in sharp contrast to the well-explored case of repeated games under public information (with the celebrated Folk Theorems), and until recently little had been known about the private monitoring case. However, rapid developments in the past few years have revealed the possibility of cooperation under private monitoring for some class of games.
Year of publication: |
2001-05
|
---|---|
Authors: | Kandori, Michihiro |
Institutions: | Center for International Research on the Japanese Economy (CIRJE), Faculty of Economics |
Saved in:
freely available
Saved in favorites
Similar items by person
-
"Weakly Belief-Free Equilibria in Repeated Games with Private Monitoring"
Kandori, Michihiro, (2007)
-
"Less is More: An Observability Paradox in Repeated Gamess"
Kandori, Michihiro, (2003)
-
Kandori, Michihiro, (1999)
- More ...