Neural Networks and Contagion
We analyze local as well as global interaction and contagion in population games, using the formalism of neural networks. In contrast to much of the literature, a state encodes not only the frequency of play, but also the spatial pattern of play. Stochastic best response dynamics with logistic noise gives rise to a log-linear or logit response model. The stationary distribution is of the Gibbs-Boltzmann type. The long-run equilibria are the maxima of a potential function.
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|Date of creation:||22 Oct 2005|
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|Note:||Financial support from the Deutsche Forschungsgemeinschaft, SFB 504, at the University of Mannheim, is gratefully acknowledged.|
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