Equilibrium selection in static and dynamic entry games

► We study static and dynamic N-player binary “entry” games with strategic complementarities. ► Entry thresholds should be larger in static rather than dynamic versions of the same entry game. ► Our experiment reveals little difference in entry thresholds between the two types of games. ► The addition of delay costs to the dynamic game does not change this finding. ► Thus the “short-cut” of modeling dynamic entry decisions as static games may not be unreasonable.