Hierarchical Decisionmaking under Uncertainty
In this paper we deal with two specific information structures within the context of hierarchical noncooperative equilibria of two-person, two-criteria quadratic Gaussian decision problems. Specifically, let x denote the unknown state of nature, which is an n-dimensional Gaussian random vector with mean zero and covariance ∑. Furthermore, let u i denote the decision variable of decisionmaker (DM) i, i = 1, 2, which takes values in ℛr i.
KeywordsNash Equilibrium Dynamic Information Stackelberg Equilibrium Gaussian Random Vector Optimal Decision Rule
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