# Questions tagged [nash-equilibrium]

A basic solution concept in game theory that requires each player to select their best response to the strategies chosen by others.

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### About infinite strategy sets and $\epsilon$-equilibrium from Game Theory: Analysis of Confilct by Roger Myerson

I am studying infinite strategy sets using Myerson's Game Theory: Analysis of Conflict. On Page 143, he defines an $\epsilon$-equilibrium as follows: Definition For any nonnegative number $\epsilon$, ...
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### Auction with independent private values - An example from Game Theory: Analysis of Conflict by Roger Myerson

I have difficulties understanding the equilibrium analysis of the following auction game: Suppose that there are $n$ bidders in an auction for a single indivisible object. Each player knows privately ...
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### Using Variance for Nash Equilibrium

For the mixed strategies, the expected utility (or payoff) is used to find the mixed strategy Nash Equilibrium. The main assumption is players try to maximize their expected payoffs. However, I think ...
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### (Game Theory) Why is voting for your worst alternative a weakly dominated action?

I don't fully understand why voting for your worst alternative is a weakly dominated action. The question comes from a question I'm working on: "Assume there are three candidates, A,B and C,...
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### Subgame perfect Nash equilibrium when there is a tie in payoffs seems problematic

My question follows from this question: https://math.stackexchange.com/questions/2132846/game-theory-subgame-perfect-nash-equilibrium-in-a-sequential-game-with-identica from Maths stackexchange. Based ...
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### Convex Preference in Nash Equilibrium

Arrow Debreu (AD) uses the convex preference (A4 among their four assumptions, also see the assumption IIIc in AD 1954 ECTA) to make general equilibrium (GE) exist, unique, and well-behave. What ...
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### Best response to convex combination of strategies

Suppose that several pure strategies in a 2-individual game have pure strategy best responses. Can we say that best responses to convex combination of those pure strategies still lie in the convex ...
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102 views

### Two-dimensional hotelling equilibria

Customers are heterogeneous with regard to their preference for quality $q$. Specifically, a customer's utility from buying a product of quality $q$ at price $p$ is $V-p + \lambda q$, with $\lambda$ ...
152 views

### What does it mean when an economist talks about "equilibrium"

In economics, there are many equilibrium concepts, like equilibrium under perfect competition, Monopolist equilibrium, competitive equilibrium, general equilibrium, nash equilibrium, equilibrium price,...
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