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Existence of trembling hand perfect and sequential equilibrium in games with stochastic timing of moves

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  • Sofia Moroni

Abstract

We consider continuous time games in which players have stochastic opportunitiesto move before a deadline. In this paper we define notions of trembling handand sequential equilibrium and show that both types of equilibria exist in a large classof such games that may feature incomplete and imperfect information. These gamesmodel realistic non-stationary dynamic situations in which players do not know exactlywhen they or their opponents will be able to move. In the complete informationcase we establish existence of a Markov Perfect equilibrium.

Suggested Citation

  • Sofia Moroni, 2019. "Existence of trembling hand perfect and sequential equilibrium in games with stochastic timing of moves," Working Paper 6757, Department of Economics, University of Pittsburgh.
    • Handle: RePEc:pit:wpaper:6757
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