Strategic Substitutes and Potential Games
Pradeep Dubey, Andriy Zapechelnyuk
Abstract
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Pradeep Dubey, Andriy Zapechelnyuk
Abstract
Open-access reader
We show that games of strategic substitutes (or complements) with aggregation are "pseudo-potential" games, and therefore possess Nash equilibria in pure strategies. Our notion of aggregation is quite general and enables us to take a unified view of several disparate models.
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We show that games of strategic substitutes (or complements) with aggregation are "pseudo-potential" games, and therefore possess Nash equilibria in pure strategies. Our notion of aggregation is quite general and enables us to take a unified view of several disparate models.
Key concepts: Strategic complements, Nash equilibrium, Mathematical economics, Economics, Microeconomics, Computer science