Evolution with Mutations Driven by Control Costs
AbstractBergin and Lipman (1996) show that the refinement effect from the random mutations in the adaptive dynamics in Kandori, Mailath and Rob (1993) and Young (1993) is due to restrictions on how these mutation rates vary across population states. We here model these mutation rates as endogenously determined mistake probabilities, by assuming that players at some cost or disutility can control their mistake probability, i.e., the probability of implementing another pure strategy than intented. This is shown to corroborate the result in Kandori-Mailath-Rob and Young that the risk-dominant equilibrium is selected in 2 x 2-coordination games.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Research Institute of Industrial Economics in its series Working Paper Series with number 501.
Length: 15 pages
Date of creation: 17 Aug 1998
Date of revision:
Publication status: Published in Journal of Economic Theory, 2002, pages 296-315.
Contact details of provider:
Postal: Research Institute of Industrial Economics, Box 55665, SE-102 15 Stockholm, Sweden
Phone: +46 8 665 4500
Fax: +46 8 665 4599
Web page: http://www.ifn.se/
More information through EDIRC
Evolution; Game theory; Mutations;
Other versions of this item:
- Damme, E.E.C. van & Weibull, J., 1998. "Evolution with Mutations Driven by Control Costs," Discussion Paper 1998-94, Tilburg University, Center for Economic Research.
- Eric Van Damme & Jorgen W Weibull, 1999. "Evolution with Mutations Driven by Control Costs," Levine's Working Paper Archive 2113, David K. Levine.
- C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
- C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
This paper has been announced in the following NEP Reports:
- NEP-ALL-1998-11-23 (All new papers)
- NEP-CMP-1998-12-16 (Computational Economics)
- NEP-EVO-1998-11-23 (Evolutionary Economics)
- NEP-MIC-1998-11-23 (Microeconomics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lawrence E. Blume, 1994.
"How Noise Matters,"
Game Theory and Information
9407002, EconWPA, revised 27 Jul 1994.
- Samuelson Larry, 1994. "Stochastic Stability in Games with Alternative Best Replies," Journal of Economic Theory, Elsevier, vol. 64(1), pages 35-65, October.
- Roger B. Myerson, 1977.
"Refinements of the Nash Equilibrium Concept,"
295, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- John C. Harsanyi & Reinhard Selten, 1988. "A General Theory of Equilibrium Selection in Games," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262582384, December.
- L. Blume, 2010.
"The Statistical Mechanics of Strategic Interaction,"
Levine's Working Paper Archive
488, David K. Levine.
- Blume Lawrence E., 1993. "The Statistical Mechanics of Strategic Interaction," Games and Economic Behavior, Elsevier, vol. 5(3), pages 387-424, July.
- Maruta, Toshimasa, 2002. "Binary Games with State Dependent Stochastic Choice," Journal of Economic Theory, Elsevier, vol. 103(2), pages 351-376, April.
- Kandori, M. & Mailath, G.J., 1991.
"Learning, Mutation, And Long Run Equilibria In Games,"
71, Princeton, Woodrow Wilson School - John M. Olin Program.
- Kandori, Michihiro & Mailath, George J & Rob, Rafael, 1993. "Learning, Mutation, and Long Run Equilibria in Games," Econometrica, Econometric Society, vol. 61(1), pages 29-56, January.
- M. Kandori & G. Mailath & R. Rob, 1999. "Learning, Mutation and Long Run Equilibria in Games," Levine's Working Paper Archive 500, David K. Levine.
- J Bergin & B L Lipman, 1997.
"Evolution with state-dependent Mutations,"
Levine's Working Paper Archive
771, David K. Levine.
- J. Bergin & B. Lipman, 2010. "Evolution with State-Dependent Mutations," Levine's Working Paper Archive 486, David K. Levine.
- BERGIN, James & LIPMAN, Bart, 1994. "Evolution with State-Dependent Mutations," CORE Discussion Papers 1994055, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Young, H Peyton, 1993. "The Evolution of Conventions," Econometrica, Econometric Society, vol. 61(1), pages 57-84, January.
- Robles, Jack, 1998. "Evolution with Changing Mutation Rates," Journal of Economic Theory, Elsevier, vol. 79(2), pages 207-223, April.
- David K Levine & Wolfgang Pesendorfer, 2000. "Evolution Through Imitation in a Single Population," Levine's Working Paper Archive 2122, David K. Levine.
- Levine, David K. & Pesendorfer, Wolfgang, 2007. "The evolution of cooperation through imitation," Games and Economic Behavior, Elsevier, vol. 58(2), pages 293-315, February.
- Nyborg, Karine & Telle, Kjetil, 2003.
"The Role of Warnings in Regulation: Keeping Control with Less Punishment,"
24/2003, Oslo University, Department of Economics.
- Nyborg, Karine & Telle, Kjetil, 2004. "The role of warnings in regulation: keeping control with less punishment," Journal of Public Economics, Elsevier, vol. 88(12), pages 2801-2816, December.
- Kaarboe, O.M. & Tieman, A.F., 2000.
"Equilibrium Selection in Games with Macroeconomic Complementarities,"
Norway; Department of Economics, University of Bergen
2199, Department of Economics, University of Bergen.
- Oddvar M. Kaarbøe & Alexander F. Tieman, 0000. "Equilibrium Selection in Games with Macroeconomic Complementarities," Tinbergen Institute Discussion Papers 99-096/1, Tinbergen Institute.
- Myatt, David P. & Wallace, Chris C., 2004.
"Adaptive play by idiosyncratic agents,"
Games and Economic Behavior,
Elsevier, vol. 48(1), pages 124-138, July.
- Edward Droste & Robert P. Gilles & Cathleen Johnson, 2000. "Evolution of Conventions in Endogenous Social Networks," Econometric Society World Congress 2000 Contributed Papers 0594, Econometric Society.
- Kosfeld, Michael, 2002. "Why shops close again: An evolutionary perspective on the deregulation of shopping hours," European Economic Review, Elsevier, vol. 46(1), pages 51-72, January.
- David K Levine & Wolfgang Pesendorfer, 2005. "Evolution of Cooperation Through Imitation," Levine's Working Paper Archive 7630, David K. Levine.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Elisabeth Gustafsson).
If references are entirely missing, you can add them using this form.