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This paper reports an experiment on a location game, the so-called "Price-Competition on the Circle." There are n …
Persistent link: https://www.econbiz.de/10010270575
Higher-dimensional symmetric games become of more and more importance for applied micro- and macroeconomic research. Standard approaches to uniqueness of equilibria have the drawback that they are restrictive or not easy to evaluate analytically. In this paper I provide some general but...
Persistent link: https://www.econbiz.de/10010316848
In games with continuum strategy sets, we model a player's uncertainty about another player's strategy, as an atomless probability distribution over the other player's strategy set. We call a strategy profile (strictly) robust to strategic uncertainty if it is the limit, as uncertainty vanishes,...
Persistent link: https://www.econbiz.de/10010320409
We model a player's uncertainty about other player's strategy choices as probability distributions over their strategy sets. We call a strategy profile robust to strategic uncertainty if it is the limit, as uncertainty vanishes, of some sequence of strategy profiles in each of which every...
Persistent link: https://www.econbiz.de/10010281422
Considering a pure coordination game with a large number of equivalent equilibria, we argue, first, that a focal point that is itself not a Nash equilibrium and is Pareto dominated by all Nash equilibria, may attract the players' choices. Second, we argue that such a non-equilibrium focal point...
Persistent link: https://www.econbiz.de/10010284116
We present an economic experiment on network formation, in which subjects can decide to form links to one another …. Direct links are costly but being connected is valuable. The gametheoretic basis for our experiment is the model of Bala and …
Persistent link: https://www.econbiz.de/10010262760
We derive distributional effects for a non-cooperative alternative to the unitary model of household behaviour. We consider the Nash equilibria of a voluntary contributions to public goods game. Our main result is that, in general, the two partners either choose to contribute to different public...
Persistent link: https://www.econbiz.de/10010293065
Motivated by issues of imitation, learning and evolution, we introduce a framework of non-co-operative games, allowing both countable sets of pure actions and player types and player types and demonstrate that for all games with sufficiently many players, every mixed strategy Nash equilibrium...
Persistent link: https://www.econbiz.de/10011325150
proposers. Only continuous-time Markov processes are firmly rooted in probability theory and offer fundamentally different limit …
Persistent link: https://www.econbiz.de/10010325478
The Nash bargaining solution of a modified bargaining problem in the contract space yields the pair of stationary subgame perfect equilibrium proposals in the alternating offers model, also for positive time between proposals. As time vanishes, convergence to the Nash bargaining solution is...
Persistent link: https://www.econbiz.de/10010325509