Article ID: | iaor20091325 |
Country: | Cuba |
Volume: | 29 |
Issue: | 1 |
Start Page Number: | 71 |
End Page Number: | 76 |
Publication Date: | Jan 2008 |
Journal: | Revista Investigacin Operacional |
Authors: | Allende G. Bouza |
Keywords: | Nash theory and methods |
Let us consider a game with n players where the set of possible strategies depend on the decision of the other player. In this case, if the players behave rationally the solution is a point of generalized Nash equilibrium (GNE). These points can be obtained as solutions of a special class of bilevel programs. In this work, the bilevel problem is substituted by a simpler model which can be solved by the so called smoothing approach for mathematical programs with complementarity constraints. We discuss if the hypothesis for the convergence of this method are generically fulfilled or not.