Article ID Journal Published Year Pages File Type
5072014 Games and Economic Behavior 2012 20 Pages PDF
Abstract
► 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.
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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