Equilibrium Selection in Games with Macroeconomic Complementarities.

We apply the stochastic evolutionary approach of equilibrium selection to macroeconomic models in which a complementarity at the macro level is present. These models often exhibit multile Pareto-ranked Nash equilibria , and the best response-correspondence of an individual increases with a measure of the aggregate state of the economy.

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Year of publication:	2000
Authors:	Kaarboe, O.M. ; Tieman, A.F.
Institutions:	Institutt for Økonomi, Universitetet i Bergen
Subject:	GAME THEORY \| MACROECONOMICS \| MATHEMATICAL ANALYSIS

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Series:	Norway; Department of Economics, University of Bergen.
Type of publication:	Book / Working Paper
Notes:	42 pages
Classification:	C63 - Computational Techniques ; C72 - Noncooperative Games ; C73 - Stochastic and Dynamic Games ; L16 - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure; Industrial Price Indices
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005675259