Group for Research in Decision Analysis

Strategic Support of Cooperative Agreements in Stochastic Games

Elena Parilina Saint Petersburg State University, Russia

Cooperation in dynamic games supposes players to use strategies maximizing the sum of the total players' payoffs and in most cases cooperative strategy profile is not the Nash equilibrium. It is reasonable to redistribute players' payoffs in stage games realized in the game process so that cooperative strategy profile in the dynamic game becomes the Nash equilibrium.This approach is also applied to stochastic games in which the player's payoff is the mathematical expectation of his payoff.