search query: @author Normann, H-T. / total: 3
reference: 2 / 3
| Author: | Huck, S. Normann, H-T. Oechssler, J. |
| Title: | Through trial and error to collusion |
| Journal: | International Economic Review
2004 : FEB, VOL. 45:1, p. 205-224 |
| Index terms: | Learning Markov chains |
| Freeterms: | Trial and error |
| Language: | eng |
| Abstract: | A very simple trial and error learning process is studied in the context of a Cournot oligopoly. Without any knowledge of the payoff functions players increase, respectively decrease, their quantity as long as this leads to higher profits. It is shown that despite the absence of any coordination or punishing device this process converges to the joint-profit-maximizing outcome. |
SCIMA