Mental Equilibrium and Strategic Emotions
Abstract
We model mental states as part of an equilibrium notion. In a mental equilibrium each player “selects” an emotional state that determines the player’s preferences over the outcomes of the game. These preferences typically differ from the players’ material preferences. The emotional states interact to play a Nash equilibrium and, in addition, each player’s mental state must be a best response to the mental states of the others (in the sense of...
Paper Details
Title
Mental Equilibrium and Strategic Emotions
Published Date
May 1, 2017
Journal
Volume
63
Issue
5
Pages
1302 - 1317
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