An Anticipative Feedback Solution for the Infinite-Horizon, Linear-Quadratic, Dynamic, Stackelberg Game - Softcover

Chen, Baoline

Softcover

ISBN 10: 1288632282 ISBN 13: 9781288632282

Publisher: Bibliogov, 2013

Synopsis

This paper derives and illustrates a new suboptimal-consistent feedback solution for an infinite-horizon, linear-quadratic, dynamic, Stackelberg game. This solution lies in the same solution space as the infinite-horizon, dynamic-programming, feedback solution but puts the leader in a preferred equilibrium position. The idea comes from Kydland (1977) who suggested deriving a consistent feedback solution for an infinite-horizon, linear-quadratic, dynamic, Stackelberg game by varying the coefficients in the player's linear constant-coefficient decision rules. Here feedback is understood in the sense of setting a current control vector as a function of a predetermined state vector. The proposed solution is derived for discrete- and continuous-time games and is called the anticipative feedback solution. The solution is illustrated with a numerical example of a duopoly model

Edition details

• Publisher: Bibliogov
• Publication date: 2013
• Language: English
• ISBN 10: 1288632282
• ISBN 13: 9781288632282
• Binding: Paperback
• Number of pages: 34