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Communication in repeated network games with imperfect monitoring

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  • Laclau, M.

Abstract

I consider repeated games with private monitoring played on a network. Each player has a set of neighbors with whom he interacts: a player's payoff depends on his own and his neighbors' actions only. Monitoring is private and imperfect: each player observes his stage payoff but not the actions of his neighbors. Players can communicate costlessly at each stage: communication can be public, private or a mixture of both. Payoffs are assumed to be sensitive to unilateral deviations. First, for any network, a folk theorem holds if some Joint Pairwise Identifiability condition regarding payoff functions is satisfied. Second, a necessary and sufficient condition on the network topology for a folk theorem to hold for all payoff functions is that no two players have the same set of neighbors not counting each other.

Suggested Citation

  • Laclau, M., 2014. "Communication in repeated network games with imperfect monitoring," Games and Economic Behavior, Elsevier, vol. 87(C), pages 136-160.
  • Handle: RePEc:eee:gamebe:v:87:y:2014:i:c:p:136-160
    DOI: 10.1016/j.geb.2014.04.009
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    Cited by:

    1. Marie Laclau, 2012. "Local Communication in Repeated Games with Local Monitoring," PSE Working Papers hal-01285070, HAL.
    2. repec:eee:gamebe:v:107:y:2018:i:c:p:220-237 is not listed on IDEAS

    More about this item

    Keywords

    Communication; Folk theorem; Imperfect private monitoring; Networks; Repeated games;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games

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