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Aggregative Games

Author

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  • Martin K. Jensen

Abstract

An abstract notion of aggregative games is introduced and a pure strategy Nash equilibrium shown to exist for such games. Convergence of best-reply improvement dynamics is also studied. All assumptions are straight-forward to check in concrete applications. The paper’s results generalize the main results of Dubey et al. (2006) and Kukushkin (2005). Likewise, the aggregator concept of Alos-Ferrer and Ania (2005) and Schipper (2005) is a special case. The relationship with both is studied in detail. A number of examples illustrate the paper’s main findings. Among these a model of open source development may be of some independent interest.

Suggested Citation

  • Martin K. Jensen, 2006. "Aggregative Games," Discussion Papers 06-10, Department of Economics, University of Birmingham.
  • Handle: RePEc:bir:birmec:06-10
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    File URL: ftp://ftp.bham.ac.uk/pub/RePEc/pdf/AggGames.pdf
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    Cited by:

    1. Acemoglu, Daron & Jensen, Martin Kaae, 2013. "Aggregate comparative statics," Games and Economic Behavior, Elsevier, vol. 81(C), pages 27-49.
    2. Martin Jensen, 2010. "Aggregative games and best-reply potentials," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 43(1), pages 45-66, April.
    3. Dominik Erharter, 2013. "Promoting coordination in summary-statistic games," Working Papers 2013-28, Faculty of Economics and Statistics, University of Innsbruck.

    More about this item

    Keywords

    Aggregative Games; Aggregation; Strategic Substitutes; Nash Equilibrium; Potential Game; Best-reply Dynamics;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games

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