Article ID: | iaor200970290 |
Country: | South Korea |
Volume: | 26 |
Issue: | 1 |
Publication Date: | Mar 2009 |
Journal: | Korean Management Science Review |
Authors: | Kim Dowhan |
Keywords: | Nash equilibrium |
I study a solution concept which preserves the nice Nash equilibrium properties of two-person zero-sum games, and define a locally competitive equilibrium which is characterized by a saddle point with respect to the coordinates of strategies. I show that a locally competitive equilibrium shares the properties of uniqueness of equilibrium payoffs, interchangeablity of equilibrium strategies and convexity of the equilibrium set.