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We study binary action network games with strategic complementarities. An agent acts if the aggregate social influence of her friends exceeds a transfer levied on the agent by a principal. The principal seeks to maximize her revenue while inducing everyone to act in a unique equilibrium. We...
Persistent link: https://www.econbiz.de/10014468058
We consider a network game with strategic complementarities where the individual reward or the strength of interactions is only partially known by the agents. Players receive different correlated signals and they make inferences about other players' information. We demonstrate that there exists...
Persistent link: https://www.econbiz.de/10011096094
Global games are widely used for equilibrium selection to predict behaviour in complete information games with strategic complementarities. We establish two results on the global game selection. First, we show that it is independent of the payoff functions of the global game embedding, though it...
Persistent link: https://www.econbiz.de/10010270696
Global games are widely used for equilibrium selection to predict behaviour in complete information games with strategic complementarities. We establish two results on the global game selection. First we show that it is independent of the payoff functions of the global game embedding, though (as...
Persistent link: https://www.econbiz.de/10010272343
We introduce strategic waiting in a global game setting with irreversible investment. Players can wait in order to make a better informed decision. We allow for cohort effects and discuss when they arise endogenously in technology adoption problems with positive contemporaneous network effects....
Persistent link: https://www.econbiz.de/10010278150
This paper examines many-player many-action global games with multidimensional state parameters. It establishes that the notion of noise-independent selection introduced by Frankel, Morris and Pauzner (Journal of Economic Theory 108 (2003) 1- 44) for onedimensional global games is robust when...
Persistent link: https://www.econbiz.de/10010542031
We introduce strategic waiting in a global game setting with irreversible investment. Players can wait in order to make a better informed decision. We allow for cohort effects and discuss when they arise endogenously in technology adoption problems with positive contemporaneous network effects....
Persistent link: https://www.econbiz.de/10005772919
Global games are widely used for equilibrium selection to predict behaviour in complete information games with strategic complementarities. We establish two results on the global game selection. First, we show that it is independent of the payoff functions of the global game embedding, though it...
Persistent link: https://www.econbiz.de/10008513139
We explore how optimal information choices change the predictions of strategic models. When a large number of agents play a game with strategic complementarity, information choices exhibit complementarity as well: If an agent wants to do what others do, they want to know what others know. This...
Persistent link: https://www.econbiz.de/10005067365
We study games with strategic complementarities, arbitrary numbers of players and actions, and slightly noisy payoff signals. We prove limit uniqueness: as the signal noise vanishes, the game has a unique strategy profile that survives iterative dominance. This generalizes a result of Carlsson...
Persistent link: https://www.econbiz.de/10005593553