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Persistent link: https://www.econbiz.de/10011405093
Nash' noncooperative and cooperative foundations for "bargaining with threats" are reinterpreted to achieve equilibrium selection in infinitely repeated two player games. The analysis is then extended to stochastic games, where players' choices affect the state transition matrix. Sufficient...
Persistent link: https://www.econbiz.de/10014155495
We study the subgame perfect equilibria of two player stochastic games with perfect monitoring and geometric discounting. A novel algorithm is developed for calculating the discounted payoffs that can be attained in equilibrium. This algorithm generates a sequence of tuples of payoffs vectors,...
Persistent link: https://www.econbiz.de/10012998334
Persistent link: https://www.econbiz.de/10009548963
We study the pure-strategy subgame-perfect Nash equilibria of stochastic games with perfect monitoring, geometric discounting, and public randomization. Novel algorithms are developed for calculating the discounted payoffs that can be attained in equilibrium. We also provide implementations of...
Persistent link: https://www.econbiz.de/10012870499