# Empirical Equilibrium

@article{Velez2018EmpiricalE, title={Empirical Equilibrium}, author={Rodrigo A. Velez and Alexander L. Brown}, journal={arXiv: Econometrics}, year={2018} }

We study the foundations of empirical equilibrium, a refinement of Nash equilibrium that is based on a non-parametric characterization of empirical distributions of behavior in games (Velez and Brown,2020b arXiv:1907.12408). The refinement can be alternatively defined as those Nash equilibria that do not refute the regular QRE theory of Goeree, Holt, and Palfrey (2005). By contrast, some empirical equilibria may refute monotone additive randomly disturbed payoff models. As a by product, we show…

## 3 Citations

### Empirical bias of extreme-price auctions: analysis

- Economics
- 2019

We advance empirical equilibrium analysis (Velez and Brown, 2020, arXiv:1907.12408) of the winner-bid and loser-bid auctions for the dissolution of a partnership. We show, in a complete information…

### The paradox of monotone structural QRE

- Economics
- 2019

McKelvey and Palfrey (1995)'s monotone structural Quantal Response Equilibrium theory may be misspecified for the study of monotone behavior.

### Rank-dependent choice equilibrium: a non-parametric generalization of QRE

- EconomicsHandbook of Research Methods and Applications in Experimental Economics
- 2019

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