This paper studies equilibrium selection in large coordination games played by heterogeneous agents, such as models of bank runs, currency attacks or technology adoption. Player payoffs are affected by the average action and the player’s type, as well as a global parameter reflecting economic...

We study large games played by heterogeneous agents whose payoffs depend on the aggregate action and provide novel equilibrium selection and comparative statics results. We prove the equivalence between the global games selection and potential maximization in games with strategic...