Coalition-Proof Nash Equilibrium
Encyclopedia
The concept of coalition-proof Nash equilibrium applies to certain "noncooperative" environments in which players can freely discuss their strategies but cannot make binding commitments .
It emphasizes the immunization to deviations that are self-enforcing. While the best-response property in Nash equilibrium
is necessary for self-enforceability, it is not generally sufficient when players can jointly deviate in a way that is mutually beneficial.
The coalition-proof Nash equilibrium refines the Nash equilibrium
by adopting a stronger notion of self-enforceability that allows multilateral deviations.
Parallel to the idea of correlated equilibrium as an extension to Nash equilibrium when public signalling device is allowed, coalition-proof equilibrium is defined by Diego Moreno and John Wooders.
It emphasizes the immunization to deviations that are self-enforcing. While the best-response property in Nash equilibrium
Nash equilibrium
In game theory, Nash equilibrium is a solution concept of a game involving two or more players, in which each player is assumed to know the equilibrium strategies of the other players, and no player has anything to gain by changing only his own strategy unilaterally...
is necessary for self-enforceability, it is not generally sufficient when players can jointly deviate in a way that is mutually beneficial.
The coalition-proof Nash equilibrium refines the Nash equilibrium
Nash equilibrium
In game theory, Nash equilibrium is a solution concept of a game involving two or more players, in which each player is assumed to know the equilibrium strategies of the other players, and no player has anything to gain by changing only his own strategy unilaterally...
by adopting a stronger notion of self-enforceability that allows multilateral deviations.
Parallel to the idea of correlated equilibrium as an extension to Nash equilibrium when public signalling device is allowed, coalition-proof equilibrium is defined by Diego Moreno and John Wooders.