The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Mixed Strategy Equilibrium

  • Mark Walker
  • John Wooders
Reference work entry
DOI: https://doi.org/10.1057/978-1-349-95189-5_2277

Abstract

A mixed strategy is a probability distribution one uses to randomly choose among available actions in order to avoid being predictable. In a mixed strategy equilibrium each player in a game is using a mixed strategy, one that is best for him against the strategies the other players are using. In laboratory experiments the behaviour of inexperienced subjects has generally been inconsistent with the theory in important respects; data obtained from contests in professional sports conforms much more closely with the theory.

Keywords

Competition Equilibrium Game theory Minimax strategy Mixed strategy equilibrium Price dispersion Pure strategy Quantal response equilibrium Reinforcement learning 

JEL Classifications

C9 
This is a preview of subscription content, log in to check access.

Bibliography

  1. Brown, J., and R. Rosenthal. 1990. Testing the minimax hypothesis: A re-examination of O’Neill’s game experiment. Econometrica 58: 1065–1081.CrossRefGoogle Scholar
  2. Erev, I., and A.E. Roth. 1998. Predicting how people play games: Reinforcement learning in experimental games with unique, mixed strategy equilibria. American Economic Review 88: 848–881.Google Scholar
  3. McKelvey, R., and T. Palfrey. 1995. Quantal response equilibria for normal-form games. Games and Economic Behavior 10: 6–38.CrossRefGoogle Scholar
  4. Nash, J.F. 1950. Equilibrium points in N person games. Proceedings of the National Academy of Sciences 36: 48–49.CrossRefGoogle Scholar
  5. O’Neill, B. 1987. Nonmetric test of the minimax theory of two-person zerosum games. Proceedings of the National Academy of Sciences 84: 2106–2109.CrossRefGoogle Scholar
  6. Stahl, D., and P. Wilson. 1994. Experimental evidence on players’ models of other players. Journal of Economic Behavior & Organization 25: 309–327.CrossRefGoogle Scholar
  7. von Neumann, J. 1928. Zur Theorie der Gesellschaftsspiele. Mathematische Annalen 100: 295–320.CrossRefGoogle Scholar
  8. Walker, M., and J. Wooders. 2001. Minimax play at Wimbledon. American Economic Review 91: 1521–1538.CrossRefGoogle Scholar

Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Mark Walker
    • 1
  • John Wooders
    • 1
  1. 1.