rel_rne: Find an RNE for a (weakly) directional game

In skranz/RelationalContracts: Characterize relational contracts in repated or stochastic games

Description

If the game is strongly directional, i.e. non-terminal states will be reached at most once, there exists a unique RNE payoff.

Usage

rel_rne(
  g,
  delta = g$param$delta,
  rho = g$param$rho,
  adjusted.delta = NULL,
  beta1 = g$param$beta1,
  verbose = TRUE,
  ...
)

Arguments

g	The game object
delta	the discount factor
rho	the negotiation probability
adjusted.delta	the adjusted discount factor (1-rho)*delta. Can be specified instead of delta.
beta1	the bargaining weight of player 1. By default equal to 0.5. Can also be initially specified with rel_param.
verbose	if TRUE give more detailed information over the solution process.

Details

For weakly directional games no RNE or multiple RNE payoffs may exist.

You can call rel_capped_rne to solve a capped version of the game that allows state changes only up to some period T. Such a capped version always has a unique RNE payoff.

skranz/RelationalContracts documentation built on March 6, 2021, 11:54 a.m.