HEC Paris2014-08-12 2:36 PM

On the Limit Perfect Public Equilibrium Payoff Set in Repeated and Stochastic Games

Abstract

This paper provides a dual characterization of the existing ones for the limit set of perfect public equilibrium payoffs in a class of finite stochastic games (in particular, repeated games) as the discount factor tends to one. As a first corollary, the folk theorems of Fudenberg et al. (1994), Kandori and Matsushima (1998) and Hörner et al. (2011) obtain. As a second corollary, it is shown that this limit set of payoffs is a convex polytope when attention is restricted to perfect public equilibria in pure strategies. This result fails for mixed strategies, even when attention is restricted to two-player repeated games.

 

Journal Information

Games and Economic Behavior, May 2014, vol. 85, n°1, pp.70-83

 

Full Article

http://www.sciencedirect.com/science/article/pii/S0899825614000116

KEYWORDS

SHARE & LIKE

COMMENTS

ABOUT THE AUTHOR

HEC Paris

Founded in 1881 by the Paris Chamber of Commerce and Industry, HEC Paris specializes in education and research in management sciences. As a leading academic institution in Europe and worldwide, HEC Paris offers a complete and unique range of education programs for students and leaders.

0 Following 0 Fans 0 Projects 23 Articles

SIMILAR ARTICLES

AbstractReplicating Shrum et al. (2012), we demonstrate that individuals display a preference for brand names that contain vowel sounds that connote pr

Read More

AbstractHigh-stakes team competitions can present a social dilemma in which participants must choose between concentrating on their personal performanc

Read More

AbstractThis paper investigates risk-taking in the liquid portfolios held by a large panel of Swedish twins. We document that the portfolio share inves

Read More

AbstractConsumer studies show that luxury evokes high prices. However, the remarkable growth of this sector is based on its extension to the middle cla

Read More

AbstractIn a repeat business context, past experiences with a service provider affect customers' decisions to renew their contract. How should a strate

Read More

AbstractThe luxury sector thus far has received scant attention from sustainable development activists and watchgroups. Yet, this focus is changing. Ev

Read More

AbstractThis article integrates relationship marketing and social network perspectives to develop and test a model that links objective sales performan

Read More

AbstractA review of recent evidence on relative earnings from entrepreneurship versus wage work presents a puzzle: why do individuals become entreprene

Read More

AbstractIn approachability with full monitoring there are two types of conditions that are known to be equivalent for convex sets: a primal and a dual

Read More

AbstractThis paper presents incentive schemes in the framework of a collaborative purchasing cost reduction process with a supplier implementing a cont

Read More