The Folk Theorem for Repeated Games
نویسندگان
چکیده
The Fudenberg and Maskin (1986) folk theorem for discounted repeated games assumes that the set of feasible payoffs is full dimensional. We obtain the same conclusion using a weaker condition. This condition is that no pair of players has equivalent von Neumann-Morgenstern utilities over outcomes. We term this condition NEU "non-equivalent utilities". The condition is weak, easily interpreted, and also almost necessary for the result.
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