EconPapers    
Economics at your fingertips  
 

Mean Field Equilibrium: Uniqueness, Existence, and Comparative Statics

Bar Light and Gabriel Weintraub

Papers from arXiv.org

Abstract: The standard solution concept for stochastic games is Markov perfect equilibrium (MPE); however, its computation becomes intractable as the number of players increases. Instead, we consider mean field equilibrium (MFE) that has been popularized in the recent literature. MFE takes advantage of averaging effects in models with a large number of players. We make three main contributions. First, our main result provides conditions that ensure the uniqueness of an MFE. We believe this uniqueness result is the first of its nature in the class of models we study. Second, we generalize previous MFE existence results. Third, we provide general comparative statics results. We apply our results to dynamic oligopoly models and to heterogeneous agent macroeconomic models commonly used in previous work in economics and operations.

Date: 2019-03, Revised 2020-06
New Economics Papers: this item is included in nep-gth and nep-mic
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://arxiv.org/pdf/1903.02273 Latest version (application/pdf)

Related works:
Working Paper: Mean Field Equilibrium: Uniqueness, Existence, and Comparative Statics (2018) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:arx:papers:1903.02273

Access Statistics for this paper

More papers in Papers from arXiv.org
Bibliographic data for series maintained by arXiv administrators ().

 
Page updated 2020-12-14
Handle: RePEc:arx:papers:1903.02273