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Learning and Implementation on the Internet

Author

Listed:
  • Eric Friedman

    () (Rutgers University)

  • Scott Shenker

    () (ICSI, Berkeley)

Abstract

We address the problem of learning and implementation on the Internet. When agents play repeated games in distributed environments like the Internet, they have very limited {\em a priori} information about the other players and the payoff matrix, and the play can be highly asynchronous. Consequently, standard solution concepts like Nash equilibria, or even the serially undominated set, do not apply in such a setting. To construct more appropriate solution concepts, we first describe the essential properties that constitute ``reasonable'' learning behavior in distributed environments. We then study the convergence behavior of such algorithms; these results lead us to propose rather non traditional solutions concepts for this context. Finally, we discuss implementation of social choice functions with these solution concepts.

Suggested Citation

  • Eric Friedman & Scott Shenker, 1998. "Learning and Implementation on the Internet," Departmental Working Papers 199821, Rutgers University, Department of Economics.
  • Handle: RePEc:rut:rutres:199821
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    File URL: http://www.sas.rutgers.edu/virtual/snde/wp/1998-21.pdf
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Yan Chen & Laura Razzolini & Theodore Turocy, 2007. "Congestion allocation for distributed networks: an experimental study," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 33(1), pages 121-143, October.
    2. Huck Steffen & Sarin Rajiv, 2004. "Players With Limited Memory," The B.E. Journal of Theoretical Economics, De Gruyter, vol. 4(1), pages 1-27, September.
    3. Friedman, Eric J., 2002. "Strategic properties of heterogeneous serial cost sharing," Mathematical Social Sciences, Elsevier, vol. 44(2), pages 145-154, November.
    4. Kumar, Rajnish, 2013. "Secure implementation in production economies," Mathematical Social Sciences, Elsevier, vol. 66(3), pages 372-378.
    5. Chen, Yan & Khoroshilov, Yuri, 2003. "Learning under limited information," Games and Economic Behavior, Elsevier, vol. 44(1), pages 1-25, July.

    More about this item

    Keywords

    Implementation; Internet; Learning;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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