SIMPLE ADAPTIVE STRATEGIES: FROM REGRET-MATCHING TO UNCOUPLED DYNAMICS: 4 (World Scientific Series In Economic Theory) - Hardcover

HART SERGIU ET AL

Hardcover

ISBN 10: 9814390690 ISBN 13: 9789814390699

Publisher: World Scientific Publishing Company, 2012

Synopsis

This volume collects almost two decades of joint work of Sergiu Hart and Andreu Mas-Colell on game dynamics and equilibria. The starting point was the introduction of the adaptive strategy called regret-matching, which on the one hand is simple and natural, and on the other is shown to lead to correlated equilibria. This initial finding ― boundedly rational behavior that yields fully rational outcomes in the long run ― generated a large body of work on the dynamics of simple adaptive strategies. In particular, a natural condition on dynamics was identified: uncoupledness, whereby decision-makers do not know each other's payoffs and utilities (so, while chosen actions may be observable, the motivations are not). This condition turns out to severely limit the equilibria that can be reached. Interestingly, there are connections to the behavioral and neurobiological sciences and also to computer science and engineering (e.g., via notions of “regret”).Simple Adaptive Strategies is self-contained and unified in its presentation. Together with the formal treatment of concepts, theorems, and proofs, significant space is devoted to informal explanations and illuminating examples. It may be used for advanced graduate courses ― in game theory, economics, mathematics, computer science, engineering ― and for further research.

About this title

From the Back Cover

This volume collects almost two decades of joint work of Sergiu Hart and Andreu Mas-Colell on game dynamics and equilibria. The starting point was the introduction of the adaptive strategy called regret-matching, which on the one hand is simple and natural, and on the other is shown to lead to correlated equilibria. This initial finding boundedly rational behavior that yields fully rational outcomes in the long run generated a large body of work on the dynamics of simple adaptive strategies. In particular, a natural condition on dynamics was identified: uncoupledness, whereby decision-makers do not know each other's payoffs and utilities (so, while chosen actions may be observable, the motivations are not). This condition turns out to severely limit the equilibria that can be reached. Interestingly, there are connections to the behavioral and neurobiological sciences and also to computer science and engineering (e.g., via notions of "regret").

Simple Adaptive Strategies is self-contained and unified in its presentation. Together with the formal treatment of concepts, theorems, and proofs, significant space is devoted to informal explanations and illuminating examples. It may be used for advanced graduate courses in game theory, economics, mathematics, computer science, engineering and for further research.

Edition details

• Publisher: World Scientific Publishing Company
• Publication date: 2012
• Language: English
• ISBN 10: 9814390690
• ISBN 13: 9789814390699
• Binding: Hardcover
• Number of pages: 320