The Computation of Perfect and Proper Equilibrium for Finite Games via Simulated Annealing
This paper exploits an analogy between the “trembles” that underlie the functioning of simulated annealing and the player “trembles” that underlie the Nash refinements known as perfect and proper equilibrium. This paper shows that this relationship can be used to provide a method for computing perfect and proper equilibria of n-player strategic games. This paper also shows, by example, that simulated annealing can be used to locate a perfect equilibrium in an extensive form game.
|Date of creation:||Jan 2010|
|Date of revision:||Apr 2010|
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- Koller, Daphne & Megiddo, Nimrod, 1996. "Finding Mixed Strategies with Small Supports in Extensive Form Games," International Journal of Game Theory, Springer, vol. 25(1), pages 73-92.
- von Stengel, B. & van den Elzen, A.H. & Talman, A.J.J., 2002. "Computing normal form perfect equilibria for extensive two-person games," Other publications TiSEM 9f112346-b587-47f3-ad2e-6, Tilburg University, School of Economics and Management.
- Robert Wilson, 2010. "Computing Equilibria of n-person Games," Levine's Working Paper Archive 402, David K. Levine.
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