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Proper Equilibrium
Proper equilibrium is a refinement of Nash Equilibrium due to Roger B. Myerson. Proper equilibrium further refines Reinhard Selten's notion of a trembling hand perfect equilibrium by assuming that more costly trembles are made with significantly smaller probability than less costly ones. Definition Given a normal form game and a parameter \epsilon > 0, a totally mixed strategy profile \sigma is defined to be \epsilon-proper if, whenever a player has two pure strategies s and s' such that the expected payoff of playing s is smaller than the expected payoff of playing s' (that is u(s,\sigma_) Example The game to the right is a var ...[...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Trembling Hand Perfect Equilibrium
A tremor is an involuntary, somewhat rhythmic, muscle contraction and relaxation involving oscillations or twitching movements of one or more body parts. It is the most common of all involuntary movements and can affect the hands, arms, eyes, face, head, vocal folds, trunk, and legs. Most tremors occur in the hands. In some people, a tremor is a symptom of another neurological disorder. A very common tremor is the teeth chattering, usually induced by cold temperatures or by fear. Types Tremor is most commonly classified by clinical features and cause or origin. Some of the better-known forms of tremor, with their symptoms, include the following: * Cerebellar tremor (also known as intention tremor) is a slow, broad tremor of the extremities that occurs at the end of a purposeful movement, such as trying to press a button or touching a finger to the tip of one's nose. Cerebellar tremor is caused by lesions in or damage to the cerebellum resulting from stroke, tumor, or disease su ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Roger B
Roger is a given name, usually masculine, and a surname. The given name is derived from the Old French personal names ' and '. These names are of Germanic origin, derived from the elements ', ''χrōþi'' ("fame", "renown", "honour") and ', ' ("spear", "lance") (Hrōþigēraz). The name was introduced into England by the Normans. In Normandy, the Frankish name had been reinforced by the Old Norse cognate '. The name introduced into England replaced the Old English cognate '. ''Roger'' became a very common given name during the Middle Ages. A variant form of the given name ''Roger'' that is closer to the name's origin is ''Rodger''. Slang and other uses Roger is also a short version of the term "Jolly Roger", which refers to a black flag with a white skull and crossbones, formerly used by sea pirates since as early as 1723. From up to , Roger was slang for the word "penis". In ''Under Milk Wood'', Dylan Thomas writes "jolly, rodgered" suggesting both the sexual double enten ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Nash Equilibrium
In game theory, the Nash equilibrium, named after the mathematician John Nash, is the most common way to define the solution of a non-cooperative game involving two or more players. In a Nash equilibrium, each player is assumed to know the equilibrium strategies of the other players, and no one has anything to gain by changing only one's own strategy. The principle of Nash equilibrium dates back to the time of Cournot, who in 1838 applied it to competing firms choosing outputs. If each player has chosen a strategy an action plan based on what has happened so far in the game and no one can increase one's own expected payoff by changing one's strategy while the other players keep their's unchanged, then the current set of strategy choices constitutes a Nash equilibrium. If two players Alice and Bob choose strategies A and B, (A, B) is a Nash equilibrium if Alice has no other strategy available that does better than A at maximizing her payoff in response to Bob choosing B, and Bo ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Reinhard Selten
Reinhard Justus Reginald Selten (; 5 October 1930 – 23 August 2016) was a German economist, who won the 1994 Nobel Memorial Prize in Economic Sciences (shared with John Harsanyi and John Nash). He is also well known for his work in bounded rationality and can be considered one of the founding fathers of experimental economics. Biography Selten was born in Breslau (Wrocław) in Lower Silesia, now in Poland, to a Jewish father, Adolf Selten (blind bookseller; d. 1942Roberts, Sam"Reinhard Selten, Whose Strides in Game Theory Led to a Nobel, Dies at 85" New York ''Times'', September 2, 2016. Retrieved 2016-09-03.), and Protestant mother, Käthe Luther.O'Connor, J J, and E F Robertson"Reinhard Selten" ''www-history.mcs.st-and.ac.uk'', November 2010. Retrieved 2016-09-03. Reinhard Selten was raised as Protestant. After a brief family exile in Saxony and Austria, Selten returned to Hesse, Germany after the war and, in high school, read an article in Fortune magazine a ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Trembling Hand Perfect Equilibrium
A tremor is an involuntary, somewhat rhythmic, muscle contraction and relaxation involving oscillations or twitching movements of one or more body parts. It is the most common of all involuntary movements and can affect the hands, arms, eyes, face, head, vocal folds, trunk, and legs. Most tremors occur in the hands. In some people, a tremor is a symptom of another neurological disorder. A very common tremor is the teeth chattering, usually induced by cold temperatures or by fear. Types Tremor is most commonly classified by clinical features and cause or origin. Some of the better-known forms of tremor, with their symptoms, include the following: * Cerebellar tremor (also known as intention tremor) is a slow, broad tremor of the extremities that occurs at the end of a purposeful movement, such as trying to press a button or touching a finger to the tip of one's nose. Cerebellar tremor is caused by lesions in or damage to the cerebellum resulting from stroke, tumor, or disease su ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Normal Form (abstract Rewriting)
In abstract rewriting, an object is in normal form if it cannot be rewritten any further, i.e. it is irreducible. Depending on the rewriting system, an object may rewrite to several normal forms or none at all. Many properties of rewriting systems relate to normal forms. Definitions Stated formally, if (''A'',→) is an abstract rewriting system, ''x''∈''A'' is in normal form if no ''y''∈''A'' exists such that ''x''→''y'', i.e. ''x'' is an irreducible term. An object ''a'' is weakly normalizing if there exists at least one particular sequence of rewrites starting from ''a'' that eventually yields a normal form. A rewriting system has the weak normalization property or is ''(weakly) normalizing'' (WN) if every object is weakly normalizing. An object ''a'' is strongly normalizing if every sequence of rewrites starting from ''a'' eventually terminates with a normal form. An abstract rewriting system is ''strongly normalizing'', ''terminating'', ''noetherian'', or has the (str ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Mixed Strategy
In game theory, a player's strategy is any of the options which they choose in a setting where the outcome depends ''not only'' on their own actions ''but'' on the actions of others. The discipline mainly concerns the action of a player in a game affecting the behavior or actions of other players. Some examples of "games" include chess, bridge, poker, monopoly, diplomacy or battleship. A player's strategy will determine the action which the player will take at any stage of the game. In studying game theory, economists enlist a more rational lens in analyzing decisions rather than the psychological or sociological perspectives taken when analyzing relationships between decisions of two or more parties in different disciplines. The strategy concept is sometimes (wrongly) confused with that of a move. A move is an action taken by a player at some point during the play of a game (e.g., in chess, moving white's Bishop a2 to b3). A strategy on the other hand is a complete algorithm for p ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Matching Pennies
Matching pennies is the name for a simple game used in game theory. It is played between two players, Even and Odd. Each player has a penny and must secretly turn the penny to heads or tails. The players then reveal their choices simultaneously. If the pennies match (both heads or both tails), then Even keeps both pennies, so wins one from Odd (+1 for Even, −1 for Odd). If the pennies do not match (one heads and one tails) Odd keeps both pennies, so receives one from Even (−1 for Even, +1 for Odd). Theory Matching Pennies is a zero-sum game because each participant's gain or loss of utility is exactly balanced by the losses or gains of the utility of the other participants. If the participants' total gains are added up and their total losses subtracted, the sum will be zero. The game can be written in a payoff matrix (pictured right - from Even's point of view). Each cell of the matrix shows the two players' payoffs, with Even's payoffs listed first. Matching pennies ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Nash Equilibrium
In game theory, the Nash equilibrium, named after the mathematician John Nash, is the most common way to define the solution of a non-cooperative game involving two or more players. In a Nash equilibrium, each player is assumed to know the equilibrium strategies of the other players, and no one has anything to gain by changing only one's own strategy. The principle of Nash equilibrium dates back to the time of Cournot, who in 1838 applied it to competing firms choosing outputs. If each player has chosen a strategy an action plan based on what has happened so far in the game and no one can increase one's own expected payoff by changing one's strategy while the other players keep their's unchanged, then the current set of strategy choices constitutes a Nash equilibrium. If two players Alice and Bob choose strategies A and B, (A, B) is a Nash equilibrium if Alice has no other strategy available that does better than A at maximizing her payoff in response to Bob choosing B, and Bo ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Extensive Form Game
An extensive-form game is a specification of a game in game theory, allowing (as the name suggests) for the explicit representation of a number of key aspects, like the sequencing of players' possible moves, their choices at every decision point, the (possibly imperfect) information each player has about the other player's moves when they make a decision, and their payoffs for all possible game outcomes. Extensive-form games also allow for the representation of incomplete information in the form of chance events modeled as " moves by nature". Finite extensive-form games Some authors, particularly in introductory textbooks, initially define the extensive-form game as being just a game tree with payoffs (no imperfect or incomplete information), and add the other elements in subsequent chapters as refinements. Whereas the rest of this article follows this gentle approach with motivating examples, we present upfront the finite extensive-form games as (ultimately) constructed here. Thi ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Quasi-perfect Equilibrium
Quasi-perfect equilibrium is a refinement of Nash Equilibrium for extensive form games due to Eric van Damme. Informally, a player playing by a strategy from a quasi-perfect equilibrium takes observed as well as potential future mistakes of his opponents into account but assumes that he himself will not make a mistake in the future, even if he observes that he has done so in the past. Quasi-perfect equilibrium is a further refinement of sequential equilibrium. It is itself refined by normal form proper equilibrium. Mertens' voting game It has been argued by Jean-François MertensJean-François Mertens. "Two examples of strategic equilibrium." ''Games and Economic Behavior'', 8:378--388, 1995. that quasi-perfect equilibrium is superior to Reinhard Selten Reinhard Justus Reginald Selten (; 5 October 1930 – 23 August 2016) was a German economist, who won the 1994 Nobel Memorial Prize in Economic Sciences (shared with John Harsanyi and John Nash). He is also well ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Eric Van Damme
Eric Eleterius Coralie van Damme (born 27 July 1956CURRICULUM VITAE Eric van Damme version: 17 April 2013) is a Dutch and Professor of Economics at the , known for his contributions to . Biography Born in Van Damme received his MA in Mathematics at th ...[...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
