Efficiency in repeated games with local interaction and uncertain local monitoring

Artikel

The paper discusses community enforcement in infinitely repeated, two-action games with local interaction and uncertain monitoring. Each player interacts with and observes only a fixed set of opponents, of whom he is privately informed. The main result shows that when beliefs about the monitoring structure have full support, efficiency can be sustained with sequential equilibria that are independent of the players' beliefs. Stronger results are obtained when only acyclic monitoring structures are allowed or players have unit discount rates. These equilibria satisfy numerous robustness properties.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Journal: Theoretical Economics ; ISSN: 1555-7561 ; Volume: 9 ; Year: 2014 ; Issue: 1 ; Pages: 279-312 ; New Haven, CT: The Econometric Society

Classification and Topics

• Classification: Wirtschaft ; Noncooperative Games ; Stochastic and Dynamic Games; Evolutionary Games; Repeated Games ; Network Formation and Analysis: Theory
• Subject: Local monitoring ; repeated games ; cooperation ; networks

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Nava, Francesco ; Piccione, Michele
• Event: Veröffentlichung
• (who): The Econometric Society
• (where): New Haven, CT
• (when): 2014

Further information

• DOI: doi:10.3982/TE1200
• Handle: http://hdl.handle.net/10419/150221
• Last update: 10.03.2025, 11:43 AM CET