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Cooperation, Correlation and Competition in Ergodic $N$-player Games and Mean-field Games of Singular Controls: A Case Study

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  • Federico Cannerozzi
  • Giorgio Ferrari

Abstract

We consider ergodic symmetric $N$-player and mean-field games of singular control in both cooperative and competitive settings. The state process dynamics of a representative player follow geometric Brownian motion, controlled additively through a nondecreasing process. Agents aim to maximize a long-time average reward functional with instantaneous profit of power type. The game shows strategic complementarities, in that the marginal profit function is increasing with respect to the dynamic average of the states of the other players, when $N

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  • Federico Cannerozzi & Giorgio Ferrari, 2024. "Cooperation, Correlation and Competition in Ergodic $N$-player Games and Mean-field Games of Singular Controls: A Case Study," Papers 2404.15079, arXiv.org.
    • Handle: RePEc:arx:papers:2404.15079
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    References listed on IDEAS

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