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Strategic correlativity and network games
Institution:1. College of Economics and Administrative Sciences, Al-Imam Muhammad Bin Saud Islamic University, Riyadh, Saudi Arabia;2. College of Business Administration, King Saud University, Riyadh, Saudi Arabia
Abstract:We consider the strategic correlativity principle in strategic form games and potential games, which indicate the relationship between an arbitrary pair of players under correlated equilibria. Importantly, the strategies of a pair of players are positively correlated when their expected payoff functions are supermodular, while negatively correlated when their expected payoff functions are submodular. Furthermore, we extend the strategic correlativity principle to strategic form games and potential games in social networks, and investigate the monotonicity of correlated equilibrium in each player's own degree.
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