Equilibria in constrained concave bimatrix games
Volume 40 / 2013
Abstract
We study a generalization of bimatrix games in which not all pairs of players' pure strategies are admissible. It is shown that under some additional convexity assumptions such games have equilibria of a very simple structure, consisting of two probability distributions with at most two-element supports. Next this result is used to get a theorem about the existence of Nash equilibria in bimatrix games with a possibility of payoffs equal to $-\infty $. The first of these results is a discrete counterpart of the Debreu Theorem about the existence of pure noncooperative equilibria in $n$-person constrained infinite games. The second one completes the classical theorem on the existence of Nash equilibria in bimatrix games. A wide discussion of the results is given.
