2013International Journal of Game TheoryOpen access

Poor convexity and Nash equilibria in games

Tadeusz Radzik

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Abstract

This paper considers two-person non-zero-sum games on the unit square with payoff functions having a new property called poor convexity. This property describes “something between” the classical convexity and quasi-convexity. It is proved that various types of such games have Nash equilibria with a very simple structure, consisting of the players’ mixed strategies with at most two-element supports. Since poor convexity is a basic notion in the paper, also a theory of poorly convex functions is also developed.

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This paper considers two-person non-zero-sum games on the unit square with payoff functions having a new property called poor convexity. This property describes “something between” the classical convexity and quasi-convexity. It is proved that various types of such games have Nash equilibria with a very simple structure, consisting of the players’ mixed strategies with at most two-element supports. Since poor convexity is a basic notion in the paper, also a theory of poorly convex functions is also developed.

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Available abstract

This paper considers two-person non-zero-sum games on the unit square with payoff functions having a new property called poor convexity. This property describes “something between” the classical convexity and quasi-convexity. It is proved that various types of such games have Nash equilibria with a very simple structure, consisting of the players’ mixed strategies with at most two-element supports. Since poor convexity is a basic notion in the paper, also a theory of poorly convex functions is also developed.

Key concepts: Convexity, Mathematical economics, Nash equilibrium, Property (philosophy), Mathematics, Best response, Simple (philosophy), Stochastic game

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