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Limit Games and Limit Equilibria

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  • Fudenberg, Drew
  • Levine, David

Abstract

We provide a necessary and sufficient condition for equilibria of a game to arise as limits of ε-equilibria of games with smaller strategy spaces. As the smaller games are frequently more tractable, our result facilitates the characterization of the set of equilibria.

Suggested Citation

  • Fudenberg, Drew & Levine, David, 1986. "Limit Games and Limit Equilibria," Scholarly Articles 3350443, Harvard University Department of Economics.
    • Handle: RePEc:hrv:faseco:3350443
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    References listed on IDEAS

    as
    1. Kreps, David M. & Wilson, Robert, 1982. "Reputation and imperfect information," Journal of Economic Theory, Elsevier, vol. 27(2), pages 253-279, August.
    2. Leo K. Simon, 1987. "Games with Discontinuous Payoffs," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 54(4), pages 569-597.
    3. Walker, Mark, 1979. "A Generalization of the Maximum Theorem," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 20(1), pages 267-272, February.
    4. Partha Dasgupta & Eric Maskin, 1986. "The Existence of Equilibrium in Discontinuous Economic Games, I: Theory," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 53(1), pages 1-26.
    5. Drew Fudenberg & David Levine, 2008. "Subgame–Perfect Equilibria of Finite– and Infinite–Horizon Games," World Scientific Book Chapters, in: Drew Fudenberg & David K Levine (ed.), A Long-Run Collaboration On Long-Run Games, chapter 1, pages 3-20, World Scientific Publishing Co. Pte. Ltd..
    6. Nancy L. Stokey, 1981. "Rational Expectations and Durable Goods Pricing," Bell Journal of Economics, The RAND Corporation, vol. 12(1), pages 112-128, Spring.
    7. Radner, Roy, 1980. "Collusive behavior in noncooperative epsilon-equilibria of oligopolies with long but finite lives," Journal of Economic Theory, Elsevier, vol. 22(2), pages 136-154, April.
    8. Drew Fudenberg & Jean Tirole, 1985. "Preemption and Rent Equalization in the Adoption of New Technology," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 52(3), pages 383-401.
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    • I10 - Health, Education, and Welfare - - Health - - - General

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