On the Existence of Pure Strategy Nash Equilibria in Two Person Discrete Games
9 Pages Posted: 8 Sep 2011
Date Written: September 8, 2009
We construct a generalized two-person discrete strategy static game of complete information where continuity, convexity and compactness cannot be invoked to show the existence of Pure Strategy Nash Equilibrium. We show that, when Best Responses are unique from both sides, a condition of Minimal Acyclicity is necessary and sufficient for the existence of Pure Strategy Nash Equilibria.
Keywords: Pure Strategy Nash Equilibrium, Best Response, Minimal Acyclicity
JEL Classification: C7
Suggested Citation: Suggested Citation