On the Nonconvergence of Fictitious Play in Coordination Games (Revised version of WP-95-001)

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http://eprints.org/relation/isVersionOf https://pure.iiasa.ac.at/id/document/4296 http://eprints.org/relation/isVolatileVersionOf https://pure.iiasa.ac.at/id/document/4296 http://eprints.org/relation/isCoversheetVersionOf https://pure.iiasa.ac.at/id/document/4296 archive 351 disk0/00/00/49/93 2016-01-15 02:08:07 2021-08-27 17:15:49 2016-01-15 02:08:07 monograph show 2 Foster D. Young H.P. AL1397 On the Nonconvergence of Fictitious Play in Coordination Games (Revised version of WP-95-001) pub iis_ecn iis_neg prog_ins It is shown by example that learning rules of the fictitious play type fail to converge in certain kinds of coordination games. By contrast, learning rules in which past actions are eventually forgotten and which incorporate small stochastic perturbations are better behaved: over the long run, players manage to coordinate with probability one. 1996-05 published WP-96-033 WP-96-033 10 2539 public working_paper IIASA, Laxenburg, Austria 21 FALSE info:eu-repo/semantics/book