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Delayed perfect monitoring in an infinitely repeated discounted game is modelled by letting the players form a connected and undirected network. Players observe their immediate neighbors' behavior only, but communicate over time the repeated game's history truthfully throughout the network. The...
Persistent link: https://www.econbiz.de/10005247844
managerial intervention subjects invariably slip into coordination failure. To overcome a history of coordination failure …
Persistent link: https://www.econbiz.de/10005168429
either start with low financial incentives for coordination, which typically leads to coordination failure, and then are … switched to higher incentives or start with high incentives, which typically yield effective coordination, and are switched to …
Persistent link: https://www.econbiz.de/10005168457
phase, the benefits of coordination are low relative to the cost of increased effort. Play in this initial phase typically … the benefits of coordination leads to improved coordination, but, surprisingly, large increases have no more impact than …
Persistent link: https://www.econbiz.de/10005582728
out of a situation of coordination failure. We focus on the connections between cost asymmetries and leadership … with symmetric costs. The overall pattern of coordination improvement is common across treatments. Early coordination … find that initial leadership in overcoming coordination failure is not driven by low-cost subjects but by subjects with the …
Persistent link: https://www.econbiz.de/10005572147
This paper studies whether it is possible to characterize an optimal, time-consistent tariff to protect an infant-industry in the presence of learning effects. A domestic monopolist decides how much to produce, taking into account learning effects induced by its current production, while the...
Persistent link: https://www.econbiz.de/10005247840
We study a model where agents, located in a social network, decide whether to exert effort or not in experimenting with a new technology (or acquiring a new skill, innovating, etc.). We assume that agents have strong incentives to free ride on their neighbors' effort decisions. In the static...
Persistent link: https://www.econbiz.de/10005168436
We consider a dynamic model where traders in each period are matched randomly into pairs who then bargain about the division of a fixed surplus. When agreement is reached the traders leave the market. Traders who do not come to an agreement return next period in which they will be matched again,...
Persistent link: https://www.econbiz.de/10005582677
Persistent link: https://www.econbiz.de/10005582708
We study the properties of the well known Replicator Dynamics when applied to a finitely repeated version of the Prisoners' Dilemma game. We characterize the behavior of such dynamics under strongly simplifying assumptions (i.e. only 3 strategies are available) and show that the basin of...
Persistent link: https://www.econbiz.de/10008683665