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Repeated games with asymptotically finite horizons. (English) Zbl 0841.90139

Summary: We study a class of repeated games in which the discount factor falls asymptotically to zero through time (reflecting, for example, a vanishing probability of continuation). For an important class of stage games, we give a condition on the sequence of discount factors that is necessary and sufficient for the existence of non-degenerate equilibria. We also study the properties of the equilibrium set when this condition is satisfied.

MSC:

91A20 Multistage and repeated games
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