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Learning Correlated Equilibria in Potential Games

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  • Antonella Ianni

Abstract

The paper develops a framework for the analysis of finite n-player games, recurrently played by randomly drawn n-tuples of players, from a finite population. We first relate the set of equilibria of this game to the set of correlated equilibria of the underlying game, and then focus on learning processes modelled as Markovian adaptive dynamics. For the class of potential games, we show that any myopic-best reply dynamics converges (in probability) to a correlated equilibrium. We also analyze noisy best reply dynamics, where players' behaviour is perturbed by payoff dependent mistakes, and explicitly characterize the limit distribution of the perturbed game in terms of the correlated equilibrium payoff of the underlying game.
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Suggested Citation

  • Antonella Ianni, "undated". "Learning Correlated Equilibria in Potential Games," Penn CARESS Working Papers 34ac2118b0340df9732abdd0b, Penn Economics Department.
    • Handle: RePEc:cla:penntw:34ac2118b0340df9732abdd0b3363124
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    File URL: http://www.econ.upenn.edu/Centers/CARESS/
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    Cited by:

    1. Ianni, Antonella & Corradi, Valentina, 2000. "Consensus, contagion and clustering in a space-time model of public opinion formation," Discussion Paper Series In Economics And Econometrics 0009, Economics Division, School of Social Sciences, University of Southampton.
    2. Hofbauer,J. & Sandholm,W.H., 2001. "Evolution and learning in games with randomly disturbed payoffs," Working papers 5, Wisconsin Madison - Social Systems.
    3. Hofbauer,J. & Sandholm,W.H., 2001. "Evolution and learning in games with randomly disturbed payoffs," Working papers 5, Wisconsin Madison - Social Systems.

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