The Computation of Equilibria
- Cite this paper as:
- Papadimitriou C.H. (2007) The Computation of Equilibria. In: Deng X., Graham F.C. (eds) Internet and Network Economics. WINE 2007. Lecture Notes in Computer Science, vol 4858. Springer, Berlin, Heidelberg
Ever since Nash’s existence theorem in 1951, the Nash equilibrium has been the standard solution concept in Game Theory, yet the issue of its computational complexity was resolved only recently by the proof that the problem is PPAD- complete , even in the two-player case . In view of this result, research turned to several alternatives — an effect reminiscent of the reaction to NP-completeness in the 1970s: Approximation algorithms, special cases, and alternative equilibrium concepts.