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Entropic Regularization in Hierarchical Games

Author

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  • Lina Mallozzi

    (Università di Napoli Federico II)

  • Panos M. Pardalos

    (Center for Applied Optimization, University of Florida)

Abstract

We study hierarchical games where the second stage consists of a finite noncooperative game. To ensure that the lower level problem admits solutions, its mixed extension is considered. By using the Shannon entropy, a regularization scheme for the two-stage game is introduced and some properties are presented, as the asymptotic subgame perfectness.

Suggested Citation

  • Lina Mallozzi & Panos M. Pardalos, 2022. "Entropic Regularization in Hierarchical Games," SN Operations Research Forum, Springer, vol. 3(1), pages 1-14, March.
    • Handle: RePEc:spr:snopef:v:3:y:2022:i:1:d:10.1007_s43069-022-00130-2
    DOI: 10.1007/s43069-022-00130-2
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    References listed on IDEAS

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    1. Hanif D. Sherali & Allen L. Soyster & Frederic H. Murphy, 1983. "Stackelberg-Nash-Cournot Equilibria: Characterizations and Computations," Operations Research, INFORMS, vol. 31(2), pages 253-276, April.
    2. L. Mallozzi & J. Morgan, 2005. "Oligopolistic Markets with Leadership and Demand Functions Possibly Discontinuous," Journal of Optimization Theory and Applications, Springer, vol. 125(2), pages 393-407, May.
    3. Benoît Colson & Patrice Marcotte & Gilles Savard, 2007. "An overview of bilevel optimization," Annals of Operations Research, Springer, vol. 153(1), pages 235-256, September.
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    Cited by:

    1. Francesco Caruso & Maria Carmela Ceparano & Jacqueline Morgan, 2024. "Asymptotic behavior of subgame perfect Nash equilibria in Stackelberg games," Annals of Operations Research, Springer, vol. 336(3), pages 1573-1590, May.

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