Knowledge (XXG)

Strong Nash equilibrium

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The strong Nash concept is criticized as too "strong" in that the environment allows for unlimited private communication. As a result of these requirements, Strong Nash rarely exists in games interesting enough to deserve study. Nevertheless, it is possible for there to be multiple strong Nash
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is a combination of actions of the different players, in which no coalition of players can cooperatively deviate in a way that strictly benefits all of its members, given that the actions of the other players remain fixed. This is in contrast to simple Nash equilibrium, which considers only
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There is a unique Nash equilibrium at (0,0), with payoff vector (0,0). However, it is not SNE as the coalition {1,2} can deviate to (1,1), with payoff vector (1,1). Indeed, coalition consistency is violated at
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So, with w1=0.6,w2=0.4 the point (1/3,3/4) is a consistent social-welfare-best-response for all coalitions simultaneously. Therefore, an SNE exists, at the same point (1/3,3/4).
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Here is an example in which the coalition consistency fails, and indeed there is no SNE.There are two players, with strategy space . Their utility functions are:
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is not an SNE, the condition requires that one can move to a different strategy-profile which is a social-welfare-best-response for all coalitions simultaneously.
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which are continuous and convex. It remains to check coalition consistency. For every strategy-tuple x, we check the weighted-best-response of each coalition:
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Nessah and Tian also present a necessary and sufficient condition for SNE existence, along with an algorithm that finds an SNE if and only if it exists.
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is a CPNE. Further, it is possible for a game to have a Nash equilibrium that is resilient against coalitions less than a specified size 
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For example, consider a game with two players, with strategy spaces and , which are clearly compact and convex. The utility functions are:
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For the coalition {2}, we similarly see that for every x1, the maximum payoff is attained at the smallest point, y2=3/4.
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that exists, but this is only unique (apart from inconsequential changes) when there is a majority Condorcet winner.
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B. D. Bernheim; B. Peleg; M. D. Whinston (1987), "Coalition-Proof Equilibria I. Concepts",
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Every SNE is a Nash equilibrium. This can be seen by considering a deviation of the
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Nessah and Tian prove that an SNE exists if the following conditions are satisfied:
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Confusingly, the concept of a strong Nash equilibrium is unrelated to that of a
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in 1959. SNE is particularly useful in areas such as the study of
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A relatively weaker yet refined Nash stability concept is called
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For the coalition {1,2}, with weights w1,w2, we need to find max
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deviations by individual players. The concept was introduced by
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D. Moreno; J. Wooders (1996), "Coalition-Proof Equilibrium",
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For the coalition {1}, we need to find, for every x2, max
255:=(0,0): for the coalition {1,2}, for any weight-vector 308:, there is always a strong Nash equilibrium for any 1493: 1452: 1234: 1178: 960: 862: 769: 627: 526: 58: 53: 42: 37: 21: 420:Journal of Mathematical Analysis and Applications 49:(if the strong Nash equilibrium is not also weak) 375: 373: 228:(w1*(-y1 + y2 + 1)+w2*(y1 - y2 + 1)). Using the 503: 126:property: there exists a weight-vector-tuple 8: 416:"On the existence of strong Nash equilibria" 414:Nessah, Rabia; Tian, Guoqiang (2014-06-15). 510: 496: 488: 476: 431: 366:, Princeton Univ. Press, Princeton, N.J.. 360:Acceptable points in general cooperative 350: 141:, such that for each strategy-profile 115:The payoff function of each player is 18: 104:The strategy space of each player is 7: 409: 407: 405: 403: 559:First-player and second-player win 145:, there exists a strategy-profile 14: 1572:Game theory equilibrium concepts 666:Coalition-proof Nash equilibrium 317:coalition-proof Nash equilibrium 160:) social welfare to members of 676:Evolutionarily stable strategy 47:Evolutionarily stable strategy 1: 604:Simultaneous action selection 304:equilibria. For instance, in 1536:List of games in game theory 716:Quantal response equilibrium 706:Perfect Bayesian equilibrium 641:Bayes correlated equilibrium 394:10.1016/0022-0531(87)90099-8 185:can be taken to be equal to 156:maximizes the weighted (by w 130:, assigning a weight-vector 1005:Optional prisoner's dilemma 736:Self-confirming equilibrium 457:Games and Economic Behavior 137:to each possible coalition 1588: 1470:Principal variation search 1186:Aumann's agreement theorem 849:Strategy-stealing argument 761:Trembling hand equilibrium 691:Markov perfect equilibrium 686:Mertens-stable equilibrium 433:10.1016/j.jmaa.2014.01.030 382:Journal of Economic Theory 1506:Combinatorial game theory 1165:Princess and monster game 721:Quasi-perfect equilibrium 646:Bayesian Nash equilibrium 331:. CPNE is related to the 321:iterated strict dominance 26: 1521:Evolutionary game theory 1254:Antoine Augustin Cournot 1140:Guess 2/3 of the average 937:Strictly determined game 731:Satisfaction equilibrium 549:Escalation of commitment 1526:Glossary of game theory 1125:Stackelberg competition 751:Strong Nash equilibrium 181:is itself an SNE, then 78:strong Nash equilibrium 22:Strong Nash equilibrium 1551:Tragedy of the commons 1531:List of game theorists 1511:Confrontation analysis 1221:Sprague–Grundy theorem 741:Sequential equilibrium 661:Correlated equilibrium 469:10.1006/game.1996.0095 277:singleton coalitions. 66:of more than 2 players 16:Concept in game theory 1324:Jean-François Mertens 340:weak Nash equilibrium 203:u1(x) = - x1 + x2 + 1 124:coalition consistency 64:non-cooperative games 1453:Search optimizations 1329:Jennifer Tour Chayes 1216:Revelation principle 1211:Purification theorem 1150:Nash bargaining game 1115:Bertrand competition 1100:El Farol Bar problem 1065:Electronic mail game 1030:Lewis signaling game 574:Hierarchy of beliefs 287:Every SNE is in the 280:Every SNE is weakly 1501:Bounded rationality 1120:Cournot competition 1070:Rock paper scissors 1045:Battle of the sexes 1035:Volunteer's dilemma 907:Perfect information 834:Dominant strategies 671:Epsilon-equilibrium 554:Extensive-form game 243:u1(x) = -x1 + 2*x2; 206:u2(x) = x1 - x2 + 1 1480:Paranoid algorithm 1460:Alpha–beta pruning 1339:John Maynard Smith 1170:Rendezvous problem 1010:Traveler's dilemma 1000:Gift-exchange game 995:Prisoner's dilemma 912:Large Poisson game 879:Bargaining problem 784:Backward induction 756:Subgame perfection 711:Proper equilibrium 358:R. Aumann (1959), 333:theory of the core 246:u2(x) = 2*x1 - x2. 1559: 1558: 1465:Aspiration window 1434:Suzanne Scotchmer 1389:Oskar Morgenstern 1284:Donald B. Gillies 1226:Zermelo's theorem 1155:Induction puzzles 1110:Fair cake-cutting 1085:Public goods game 1015:Coordination game 889:Intransitive game 819:Forward induction 701:Pareto efficiency 681:Gibbs equilibrium 651:Berge equilibrium 599:Simultaneous game 70: 69: 1579: 1546:Topological game 1541:No-win situation 1439:Thomas Schelling 1419:Robert B. Wilson 1379:Merrill M. Flood 1349:John von Neumann 1259:Ariel Rubinstein 1244:Albert W. Tucker 1095:War of attrition 1055:Matching pennies 696:Nash equilibrium 619:Mechanism design 584:Normal-form game 539:Cooperative game 512: 505: 498: 489: 483: 482: 480: 452: 446: 445: 435: 411: 398: 397: 377: 368: 367: 355: 310:Condorcet winner 282:Pareto-efficient 28:Solution concept 19: 1587: 1586: 1582: 1581: 1580: 1578: 1577: 1576: 1562: 1561: 1560: 1555: 1489: 1475:max^n algorithm 1448: 1444:William Vickrey 1404:Reinhard Selten 1359:Kenneth Binmore 1274:David K. Levine 1269:Daniel Kahneman 1236: 1230: 1206:Negamax theorem 1196:Minimax theorem 1174: 1135:Diner's dilemma 990:All-pay auction 956: 942:Stochastic game 894:Mean-field game 865: 858: 829:Markov strategy 765: 631: 623: 594:Sequential game 579:Information set 564:Game complexity 534:Congestion game 522: 516: 486: 454: 453: 449: 413: 412: 401: 379: 378: 371: 357: 356: 352: 348: 325:Pareto frontier 306:Approval voting 301: 289:weak alpha-core 271: 260: 230:derivative test 227: 217: 173: 159: 154: 135: 119:and continuous; 98: 17: 12: 11: 5: 1585: 1583: 1575: 1574: 1564: 1563: 1557: 1556: 1554: 1553: 1548: 1543: 1538: 1533: 1528: 1523: 1518: 1513: 1508: 1503: 1497: 1495: 1491: 1490: 1488: 1487: 1482: 1477: 1472: 1467: 1462: 1456: 1454: 1450: 1449: 1447: 1446: 1441: 1436: 1431: 1426: 1421: 1416: 1411: 1409:Robert Axelrod 1406: 1401: 1396: 1391: 1386: 1384:Olga Bondareva 1381: 1376: 1374:Melvin Dresher 1371: 1366: 1364:Leonid Hurwicz 1361: 1356: 1351: 1346: 1341: 1336: 1331: 1326: 1321: 1316: 1311: 1306: 1301: 1299:Harold W. Kuhn 1296: 1291: 1289:Drew Fudenberg 1286: 1281: 1279:David M. Kreps 1276: 1271: 1266: 1264:Claude Shannon 1261: 1256: 1251: 1246: 1240: 1238: 1232: 1231: 1229: 1228: 1223: 1218: 1213: 1208: 1203: 1201:Nash's theorem 1198: 1193: 1188: 1182: 1180: 1176: 1175: 1173: 1172: 1167: 1162: 1157: 1152: 1147: 1142: 1137: 1132: 1127: 1122: 1117: 1112: 1107: 1102: 1097: 1092: 1087: 1082: 1077: 1072: 1067: 1062: 1060:Ultimatum game 1057: 1052: 1047: 1042: 1040:Dollar auction 1037: 1032: 1027: 1025:Centipede game 1022: 1017: 1012: 1007: 1002: 997: 992: 987: 982: 980:Infinite chess 977: 972: 966: 964: 958: 957: 955: 954: 949: 947:Symmetric game 944: 939: 934: 932:Signaling game 929: 927:Screening game 924: 919: 917:Potential game 914: 909: 904: 896: 891: 886: 881: 876: 870: 868: 860: 859: 857: 856: 851: 846: 844:Mixed strategy 841: 836: 831: 826: 821: 816: 811: 806: 801: 796: 791: 786: 781: 775: 773: 767: 766: 764: 763: 758: 753: 748: 743: 738: 733: 728: 726:Risk dominance 723: 718: 713: 708: 703: 698: 693: 688: 683: 678: 673: 668: 663: 658: 653: 648: 643: 637: 635: 625: 624: 622: 621: 616: 611: 606: 601: 596: 591: 586: 581: 576: 571: 569:Graphical game 566: 561: 556: 551: 546: 541: 536: 530: 528: 524: 523: 517: 515: 514: 507: 500: 492: 485: 484: 447: 426:(2): 871–885. 399: 369: 349: 347: 344: 300: 297: 293:weak-beta core 270: 267: 258: 248: 247: 244: 234: 233: 225: 222: 219: 215: 208: 207: 204: 197: 196: 195: 194: 168: 157: 152: 133: 120: 113: 97: 94: 90:voting systems 68: 67: 60: 56: 55: 51: 50: 44: 40: 39: 35: 34: 24: 23: 15: 13: 10: 9: 6: 4: 3: 2: 1584: 1573: 1570: 1569: 1567: 1552: 1549: 1547: 1544: 1542: 1539: 1537: 1534: 1532: 1529: 1527: 1524: 1522: 1519: 1517: 1514: 1512: 1509: 1507: 1504: 1502: 1499: 1498: 1496: 1494:Miscellaneous 1492: 1486: 1483: 1481: 1478: 1476: 1473: 1471: 1468: 1466: 1463: 1461: 1458: 1457: 1455: 1451: 1445: 1442: 1440: 1437: 1435: 1432: 1430: 1429:Samuel Bowles 1427: 1425: 1424:Roger Myerson 1422: 1420: 1417: 1415: 1414:Robert Aumann 1412: 1410: 1407: 1405: 1402: 1400: 1397: 1395: 1392: 1390: 1387: 1385: 1382: 1380: 1377: 1375: 1372: 1370: 1369:Lloyd Shapley 1367: 1365: 1362: 1360: 1357: 1355: 1354:Kenneth Arrow 1352: 1350: 1347: 1345: 1342: 1340: 1337: 1335: 1334:John Harsanyi 1332: 1330: 1327: 1325: 1322: 1320: 1317: 1315: 1312: 1310: 1307: 1305: 1304:Herbert Simon 1302: 1300: 1297: 1295: 1292: 1290: 1287: 1285: 1282: 1280: 1277: 1275: 1272: 1270: 1267: 1265: 1262: 1260: 1257: 1255: 1252: 1250: 1247: 1245: 1242: 1241: 1239: 1233: 1227: 1224: 1222: 1219: 1217: 1214: 1212: 1209: 1207: 1204: 1202: 1199: 1197: 1194: 1192: 1189: 1187: 1184: 1183: 1181: 1177: 1171: 1168: 1166: 1163: 1161: 1158: 1156: 1153: 1151: 1148: 1146: 1143: 1141: 1138: 1136: 1133: 1131: 1128: 1126: 1123: 1121: 1118: 1116: 1113: 1111: 1108: 1106: 1105:Fair division 1103: 1101: 1098: 1096: 1093: 1091: 1088: 1086: 1083: 1081: 1080:Dictator game 1078: 1076: 1073: 1071: 1068: 1066: 1063: 1061: 1058: 1056: 1053: 1051: 1048: 1046: 1043: 1041: 1038: 1036: 1033: 1031: 1028: 1026: 1023: 1021: 1018: 1016: 1013: 1011: 1008: 1006: 1003: 1001: 998: 996: 993: 991: 988: 986: 983: 981: 978: 976: 973: 971: 968: 967: 965: 963: 959: 953: 952:Zero-sum game 950: 948: 945: 943: 940: 938: 935: 933: 930: 928: 925: 923: 922:Repeated game 920: 918: 915: 913: 910: 908: 905: 903: 901: 897: 895: 892: 890: 887: 885: 882: 880: 877: 875: 872: 871: 869: 867: 861: 855: 852: 850: 847: 845: 842: 840: 839:Pure strategy 837: 835: 832: 830: 827: 825: 822: 820: 817: 815: 812: 810: 807: 805: 804:De-escalation 802: 800: 797: 795: 792: 790: 787: 785: 782: 780: 777: 776: 774: 772: 768: 762: 759: 757: 754: 752: 749: 747: 746:Shapley value 744: 742: 739: 737: 734: 732: 729: 727: 724: 722: 719: 717: 714: 712: 709: 707: 704: 702: 699: 697: 694: 692: 689: 687: 684: 682: 679: 677: 674: 672: 669: 667: 664: 662: 659: 657: 654: 652: 649: 647: 644: 642: 639: 638: 636: 634: 630: 626: 620: 617: 615: 614:Succinct game 612: 610: 607: 605: 602: 600: 597: 595: 592: 590: 587: 585: 582: 580: 577: 575: 572: 570: 567: 565: 562: 560: 557: 555: 552: 550: 547: 545: 542: 540: 537: 535: 532: 531: 529: 525: 521: 513: 508: 506: 501: 499: 494: 493: 490: 479: 474: 470: 466: 462: 458: 451: 448: 443: 439: 434: 429: 425: 421: 417: 410: 408: 406: 404: 400: 395: 391: 387: 383: 376: 374: 370: 365: 361: 354: 351: 345: 343: 341: 336: 334: 330: 326: 322: 318: 313: 311: 307: 298: 296: 294: 290: 285: 283: 278: 276: 268: 266: 263: 261: 254: 245: 242: 241: 240: 237: 231: 223: 220: 213: 212: 211: 205: 202: 201: 200: 192: 188: 184: 180: 177:Note that if 176: 175: 172: 167: 163: 155: 148: 144: 140: 136: 129: 125: 121: 118: 114: 111: 107: 103: 102: 101: 95: 93: 91: 87: 86:Israel Aumann 82: 79: 75: 65: 61: 57: 52: 48: 45: 41: 36: 33: 29: 25: 20: 1399:Peyton Young 1394:Paul Milgrom 1309:HervĂ© Moulin 1249:Amos Tversky 1191:Folk theorem 902:-player game 899: 824:Grim trigger 750: 460: 456: 450: 423: 419: 385: 381: 363: 359: 353: 337: 328: 314: 302: 292: 288: 286: 279: 274: 272: 264: 256: 252: 249: 238: 235: 209: 198: 190: 186: 182: 178: 170: 165: 161: 150: 146: 142: 138: 131: 127: 123: 99: 80: 77: 71: 54:Significance 38:Relationship 1516:Coopetition 1319:Jean Tirole 1314:John Conway 1294:Eric Maskin 1090:Blotto game 1075:Pirate game 884:Global game 854:Tit for tat 789:Bid shading 779:Appeasement 629:Equilibrium 609:Solved game 544:Determinacy 527:Definitions 520:game theory 323:and on the 291:and in the 74:game theory 32:game theory 1160:Trust game 1145:Kuhn poker 814:Escalation 809:Deterrence 799:Cheap talk 771:Strategies 589:Preference 518:Topics of 478:10016/4408 463:: 80–112, 346:References 269:Properties 1344:John Nash 1050:Stag hunt 794:Collusion 442:0022-247X 299:Criticism 149:in which 96:Existence 43:Subset of 1566:Category 1485:Lazy SMP 1179:Theorems 1130:Deadlock 985:Checkers 866:of games 633:concepts 388:: 1–12, 164:, given 59:Used for 1237:figures 1020:Chicken 874:Auction 864:Classes 117:concave 106:compact 440:  110:convex 975:Chess 962:Games 226:y1,y2 189:. If 81:(SNE) 656:Core 438:ISSN 122:The 108:and 76:, a 62:All 1235:Key 473:hdl 465:doi 428:doi 424:414 390:doi 72:In 30:in 1568:: 970:Go 471:, 461:17 459:, 436:. 422:. 418:. 402:^ 386:42 384:, 372:^ 335:. 295:. 216:y1 174:. 900:n 511:e 504:t 497:v 481:. 475:: 467:: 444:. 430:: 396:. 392:: 362:n 329:k 275:n 259:S 257:w 253:x 191:x 187:x 183:z 179:x 171:S 169:- 166:x 162:S 158:S 153:S 151:z 147:z 143:x 139:S 134:S 132:w 128:w 112:;

Index

Solution concept
game theory
Evolutionarily stable strategy
non-cooperative games
game theory
Israel Aumann
voting systems
compact
convex
concave
derivative test
Pareto-efficient
Approval voting
Condorcet winner
coalition-proof Nash equilibrium
iterated strict dominance
Pareto frontier
theory of the core
weak Nash equilibrium


doi
10.1016/0022-0531(87)90099-8




"On the existence of strong Nash equilibria"
doi
10.1016/j.jmaa.2014.01.030

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