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Respond to the question: discount factor and tit for tat?

12/03/2006 01:46 PM by name withheld; discount factor and tit for tat

Give one player A plays the tit-for-tat strategy, if the other player B plays tit-for-tat strategy, B gets 8/(1-delta); if B defects, B gets 9+delta*8/(1-delta). As long as 8/(1-delta)>9+delta*8/(1-delta), that is delta>1/7, both [View full text and thread]

11/25/2006 12:07 PM by name withheld; discount factor and tit for tat

If two players play the tit-for-tat strategy in the infinitely repeated prisoner's dilemma. Are there discount factor values for which both players playing Tit-for-Tat constitute a Nash Equilibrium and a subgame perfect equilibrium?
Payoffs for prisoner dilemma are
D,D = 2,2
D, C= 9,0
C, D = 0,9
C,C = 8, 8 [Manage messages]