Stochastically perturbed payoff observations in an evolutionary game

Allowing there to be imperfect information with respect to payoffs is shown to affect the equilibria of an evolutionary game. For the coordination game, we find that, the replicator dynamic with Brownian motion need not result in coordination. •Imperfect information with respect to payoffs is affect...

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Veröffentlicht in:Economics letters 2020-07, Vol.192, p.109167, Article 109167
Hauptverfasser: Li, Li, Xu, Zichun, Wang, Hui
Format: Artikel
Sprache:eng
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Zusammenfassung:Allowing there to be imperfect information with respect to payoffs is shown to affect the equilibria of an evolutionary game. For the coordination game, we find that, the replicator dynamic with Brownian motion need not result in coordination. •Imperfect information with respect to payoffs is affect the equilibria of an evolutionary game.•We find that the replicator dynamic with Brownian motion need not result in coordination.•Our results supports the claim of “variance σ→0” in Fudenberg and Harris (1992).
ISSN:0165-1765
1873-7374
DOI:10.1016/j.econlet.2020.109167