The intent of the patent system is to encourage innovation by granting the innovator exclusive rights to a discovery for a limited period of time: with monopoly power, the innovator can recover the costs of creating the innovation which otherwise might not have existed. And, over time, the...

In this paper, we study implementation in "economic environments". It is shown that there is a dense subset of the set of preference profiles such that given an arbitrary social choice function, f and e 0, there exits another social choice function g, g within e of f uniformly, and g...

This paper develops a dynamic evolutionary model in which agents make choices on the basis of relative performance criteria. We distinguish two classes of learned behavior: imitative dynamics and a new class of dynamics, "introspective dynamics." Under imitative dynamics, agents compare payoffs...

This paper provides a formulation of continuous time repeated games of complete information. A substantial part of the paper is concerned with the definition of a continuous time strategy and the association of outcomes to strategies. The set of equilibria relative to these strategies is...

This paper develops a general repeated game model over arbitrary time domain (which includes continuous time behaviour). A player is committed at any point in time to history independent behaviour for a positive length of time. The length of time of commitment depends on the way the history...

This paper introduces a general framework for the discussion of renegotiation in repeated games, provides a new concept of "renegotiation proof" equilibrium, and shows how this model clarifies and unifies existing work in this area. The procedure involves restricting axiomatically the class of...

This paper develops a model of strategic behaviour in continuous time games of complete information. This model bridges the gap between the differential formulation of a continuous time game and the procedure of taking limits with respect to discrete time games. The model admits a large class of...

When individual statistics are aggregated through a strictly monotone function to an aggregate statistic, common knowledge of the value of the aggregate statistic does not imply, in general, constancy of the individual statistics. This paper discusses two circumstances where it does occur. The...

We develop a theoretical model of the dynamics of an industry over the business cycle. In the economy, both aggregate demand and the productivity of a firm's technology evolve stochastically. Each period, firms must choose whether to produce or to exit and attempt to sell off their resources to...

We study the dynamics of an industry subject to aggregate demand shocks where the productivity of a firm's technology evolves stochastically over time. Each period, each firm, given the aggregate demand shock, the productivity of its technology, and the distribution of technology productivities...