Long-term Research Projects
Realistic industrial organization models often feature solutions characterized by complex mixed strategy equilibria. Do such solutions have predictive power? Are better solution concepts available? What do we do when analytical solutions are too complex to derive? These are all questions that are highly relevant if we want to take the industrial organization out of the classroom and to the real world. With the idea of answering these questions, together with colleagues I am organizing computer tournaments, where the programs act as firms and compete with one another. We choose settings where theory predicts mixed equilibria and we see what obtains when rational people design strategies to outmanoeuvre one another (or to collude with one another). The games are open for anyone to join.