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Iterated weak dominance and interval-dominance supermodular games

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  • Sobel, Joel

    (Department of Economics, University of California, San Diego)

Abstract

This paper extends Milgrom and Robert's treatment of supermodular games in two ways. It points out that their main characterization result holds under a weaker assumption. It refines the arguments to provide bounds on the set of strategies that survive iterated deletion of weakly dominated strategies. I derive the bounds by iterating the best-response correspondence. I give conditions under which they are independent of the order of deletion of dominated strategies. The results have implications for equilibrium selection and dynamic stability in games.

Suggested Citation

  • Sobel, Joel, 2019. "Iterated weak dominance and interval-dominance supermodular games," Theoretical Economics, Econometric Society, vol. 14(1), January.
  • Handle: RePEc:the:publsh:2904
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    References listed on IDEAS

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    More about this item

    Keywords

    Supermodularity; dominance; equilibrium selection;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty

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