APPROXIMATING NASH EQUILIBRIA IN NONZERO-SUM GAMES

Eitan Altman, Odile Pourtallier, Alain Haurie and Francesco Moresino
Additional contact information
Eitan Altman: INRIA, BP93, 06902 Sophia Antipolis, France
Odile Pourtallier: INRIA, BP93, 06902 Sophia Antipolis, France
Alain Haurie: Logilab-HEC, University of Geneva, 40 Blvd. du Pont-d'Arve CH-1211 Geneva 4, Switzerland
Francesco Moresino: Logilab-HEC, University of Geneva, 40 Blvd. du Pont-d'Arve CH-1211 Geneva 4, Switzerland;

International Game Theory Review (IGTR), 2000, vol. 02, issue 02n03, 155-172

Abstract: This paper deals with the approximation of Nash equilibria inm-player games. We present conditions under which an approximating sequence of games admits near-equilibria that approximate near-equilibria in the limit game. We apply the results to two classes of games: (i) a duopoly game approximated by a sequence of matrix games, and (ii) a stochastic game played under theS-adapted information structure approximated by games played over a sampled event tree. Numerical illustrations show the usefulness of this approximation theory.

JEL-codes: B4 C0 C6 C7 D5 D7 M2 (search for similar items in EconPapers)
Date: 2000
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Citations: View citations in EconPapers (2)

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DOI: 10.1142/S0219198900000123

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