Mino, Kazuo (2001): On Time Consistency in Stackelberg Differential Games.
Download (184kB) | Preview
This paper explores a class of Stackelberg differential games in which the open-loop strategies of the leader satisfies time consistency. We show that in this class of games the open-loop equilibrium coincides with the corresponding feedback equilibrium. The analytical framework used in this paper involves the models examined by the several recent contributions to the time consistency issue as special cases.
|Item Type:||MPRA Paper|
|Original Title:||On Time Consistency in Stackelberg Differential Games|
|Keywords:||Stackelberg differential game, open-loop equilibrium, feedback equilibrium, time consistency|
|Subjects:||C - Mathematical and Quantitative Methods > C6 - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling > C60 - General
C - Mathematical and Quantitative Methods > C7 - Game Theory and Bargaining Theory > C73 - Stochastic and Dynamic Games; Evolutionary Games; Repeated Games
|Depositing User:||Kazuo Mino|
|Date Deposited:||31. Aug 2009 14:56|
|Last Modified:||19. Feb 2013 08:22|
Bryson, A. and Ho, Y., 1975, Applied control theory, Hemisphere Publishing Corporation.
Chamley, C.P., 1986, Optimal taxation of income in general equilibrium with infinite lives", Econometrica 54, 607-622.
Dockner, E., Jorgensen, S., Long, N.V. and Sorger, G., 2000, Differential games in economics and management science, Cambridge University Press (forthcoming).
Judd, K.L., 1985, Redistributive taxation in a simple perfect foresight model, Journal of Public Economics 28, 59-83.
Kemp, M.C., Long, N.V. and Shimomura, K., 1993, Cyclical and non-cyclical redistributive taxation, International Economic Review 34, 415-429.
Lansing, K.J., 1999, Optimal redistributive capital taxation in a neoclassical growth model, Journal of Public Economics 73, 423-453.
Long, N.V. and Shimomura, K., 1999, A class of Stackelberg differential games", unpublished manuscript.
Mino, K., 2000, Optimal taxation in dynamic economies with increasing returns", Discussion Paper #0006, Faculty of Economics, Kobe University, Kobe, Japan.
Xie, D. 1997, On time consistency: a technical issue in Stackelberg differential games, Journal of Economic Theory 76, 412-430.