Internet and Network Economics

Volume 4858 of the series Lecture Notes in Computer Science pp 5-6

The Computation of Equilibria

  • Christos H. PapadimitriouAffiliated withUC Berkeley, California

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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 [4], even in the two-player case [2]. 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.