On the Stability of Equilibria in Incomplete Information Games under Ambiguity
Giuseppe De Marco and
Maria Romaniello ()
Additional contact information
Maria Romaniello: Seconda Università di Napoli
CSEF Working Papers from Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy
In this paper, we look at the (Kajii and Ui) mixed equilibrium notion, which has been recognized by previous literature as a natural solution concept for incomplete information games in which players have multiple priors on the space of payoff relevant states. We investigate the problem of stability of mixed equilibria with respect to perturbations on the sets of multiple priors. We find out that the (Painlevé-Kuratowski) convergence of posteriors ensures that stability holds; whereas, convergence of priors is not enough to obtain stability since it does not always implies convergence of posteriors when we consider updating rules (for multiple priors) based on the classical Bayesian approach.
Keywords: Incomplete information games; multiple priors; equilibrium stability (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cta, nep-gth, nep-hpe and nep-mic
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Published in Applied Mathematical Sciences, 2013, 7(96), 4789-4800 (http://dx.doi.org/10.12988/ams.2013.37355)
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:sef:csefwp:332
Access Statistics for this paper
More papers in CSEF Working Papers from Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy Contact information at EDIRC.
Bibliographic data for series maintained by Lia Ambrosio ().