A service provided by the WU Library and the WU IT-Services

Games with the Total Bandwagon Property

Honda, Jun (2015) Games with the Total Bandwagon Property. Department of Economics Working Paper Series, 197. WU Vienna University of Economics and Business, Vienna.

Download (536Kb) | Preview


We consider the class of two-player symmetric n x n games with the total bandwagon property (TBP) introduced by Kandori and Rob (1998). We show that a game has TBP if and only if the game has 2^n - 1 symmetric Nash equilibria. We extend this result to bimatrix games by introducing the generalized TBP. This sheds light on the (wrong) conjecture of Quint and Shubik (1997) that any n x n bimatrix game has at most 2^n - 1 Nash equilibria. As for an equilibrium selection criterion, I show the existence of a ½-dominant equilibrium for two subclasses of games with TBP: (i) supermodular games; (ii) potential games. As an application, we consider the minimum-effort game, which does not satisfy TBP, but is a limit case of TBP. (author's abstract)

Item Type: Paper
Keywords: Bandwagon / Nash Equilibrium / Number of Equilibria / Coordination Game / Equilibrium Selection
Classification Codes: JEL C62, C72, C73
Divisions: Departments > Volkswirtschaft
Depositing User: Claudia Tering-Raunig
Date Deposited: 13 Jul 2015 14:01
Last Modified: 13 Jul 2015 14:01
URI: http://epub.wu.ac.at/id/eprint/4582


View Item