%0 Journal Article %1 McKelvey1995 %A McKelvey, Richard D. %A Palfrey, Thomas R. %D 1995 %J Games and Economic Behavior %K imported %N 1 %P 6--38 %T Quantal Response Equilibria for Normal Form Games %U http://www.sciencedirect.com/science/article/B6WFW-45NJFPR-10/2/4d59f8a5a50e7a4eaf62f539c9c66cfd %V 10 %X We investigate the use of standard statistical models for quantal choice in a game theoretic setting. Players choose strategies based on relative expected utility and assume other players do so as well. We define a quantal response equilibrium (ORE) as a fixed point of this process and establish existence. For a logit specification of the error structure, we show that as the error goes to zero, QRE approaches a subset of Nash equilibria and also implies a unique selection from the set of Nash equilibria in generic games. We fit the model to a variety of experimental data sets by using maximum likelihood estimation. Journal of Economic Literature Classification Numbers: C19, C44, C72, C92.

@article{McKelvey1995, abstract = {We investigate the use of standard statistical models for quantal choice in a game theoretic setting. Players choose strategies based on relative expected utility and assume other players do so as well. We define a quantal response equilibrium (ORE) as a fixed point of this process and establish existence. For a logit specification of the error structure, we show that as the error goes to zero, QRE approaches a subset of Nash equilibria and also implies a unique selection from the set of Nash equilibria in generic games. We fit the model to a variety of experimental data sets by using maximum likelihood estimation. Journal of Economic Literature Classification Numbers: C19, C44, C72, C92.}, added-at = {2006-08-16T16:21:59.000+0200}, author = {McKelvey, Richard D. and Palfrey, Thomas R.}, biburl = {https://www.bibsonomy.org/bibtex/2000dd8e7e0992fd70e7135afc63a56b2/gerhard}, interhash = {8ba3813f97b054adb41b3f281e98add2}, intrahash = {000dd8e7e0992fd70e7135afc63a56b2}, journal = {Games and Economic Behavior}, keywords = {imported}, month = {July}, number = 1, pages = {6--38}, timestamp = {2006-08-16T16:21:59.000+0200}, title = {Quantal Response Equilibria for Normal Form Games}, url = {http://www.sciencedirect.com/science/article/B6WFW-45NJFPR-10/2/4d59f8a5a50e7a4eaf62f539c9c66cfd}, volume = 10, year = 1995 }