English

Nash equilibria of threshold type for two-player nonzero-sum games of stopping

Probability 2017-08-03 v3 Optimization and Control

Abstract

This paper analyses two-player nonzero-sum games of optimal stopping on a class of linear regular diffusions with not non-singular boundary behaviour (in the sense of It\^o and McKean (1974), p.\ 108). We provide sufficient conditions under which Nash equilibria are realised by each player stopping the diffusion at one of the two boundary points of an interval. The boundaries of this interval solve a system of algebraic equations. We also provide conditions sufficient for the uniqueness of the equilibrium in this class.

Keywords

Cite

@article{arxiv.1508.03989,
  title  = {Nash equilibria of threshold type for two-player nonzero-sum games of stopping},
  author = {Tiziano De Angelis and Giorgio Ferrari and John Moriarty},
  journal= {arXiv preprint arXiv:1508.03989},
  year   = {2017}
}

Comments

29 pages; small edits in the text, updated acknowledgement of funding