We introduce a stochastic game in which transition probabilitiesdepend on the history of the play, i.e., the players’past action choices.To solve this new type of game under the limiting average reward crite-rion, we determine the set of jointly-convergent pure-strategy rewardswhich can be...

This paper is an empirical test of the hypothesis that the appropriateness of differentbusiness strategies is conditional on the firm’s distance to the industry frontier. We usedata on four 2-digit high-tech manufacturing industries in the US over the period 1972-1999, and apply...

To analyze strategic interaction which may induce externalities, we designed Bathroom Games with frequency-dependent stage payoffs. Two people regularly use a bathroom, before leaving they can either clean up the mess made, or not. Cleaning up involves an effort, so this option always gives a...