{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Base characteristics of a game

Base characteristics of a game - V Perfect vs Imperfect...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Base characteristics of a game I. Elements Players Strategies- set of passable achieve for each player Payoffs/outcomes for each player II. Cooperative vs Non cooperative Collusion- an agreement by firms, or any players of a game, to act together There are usually strong incentives, self interest, to cheat III. Static or dynamic Static games, players move simultaneously and simultaneous move “game” Dynamic games, players move sequentially and sequent aliened games IV. Incomplete vs Complete information We are only going to look at games of complete information
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: V. Perfect vs Imperfect information • Perfect. at every stage the players know or remember decisions made by all other players VI. Zero sum games or Non zero sum game • In zeros um games the payoffs to each player add up to zero VII. Single shot or repeated games • Single shot, one round • Repeated game play same game more than once 1. Iterated strict dominance 2. Nash equilibrium where both or all players are playing their best strategies given what the other players do Cournot Duopoly: • Two firms • Firms compete through quantity decisions...
View Full Document

{[ snackBarMessage ]}