Locally competitive equilibrium and properties

Locally competitive equilibrium and properties

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Article ID: iaor200970290
Country: South Korea
Volume: 26
Issue: 1
Publication Date: Mar 2009
Journal: Korean Management Science Review
Authors:
Keywords: Nash equilibrium
Abstract:

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.

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