MAT 1374 Lecture Notes - Lecture 6: Coordination Game, Cleromancy, Thomas Schelling

• School: University of Ottawa
• Department: Mathematics
• Course: MAT 1374
• Professor: Pieter Hofstra

Document Summary

Here the nash equilibrium is made by playing the best response to the other players previous move. In the example in the slides there"s 2 ne"s. Coordination: a pure coordination game is when your only goal is to match/get the same response as your opponent. This is one of the first games where communication actually helps. Both go straight, if you swerve you are a chicken. These are not moves within a game, but they alter the game in your favor. Things here included threats, promises, commitments, and so on. Part of the common cultural background of the players, not the game itself. Places the two can meet include landmarks, stock pickings, beauty pageants. If you"re able to predict what you think people will think, then finding a focal point is a good way to go. However in coordination type games, its about choosing different equilibriums, and the focal point helps you choose the same ne.