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Updated in [July 25th, 2023]
Game Theory 101: Chain Store Paradox is an introductory course that provides an overview of the chain store paradox. It begins with an introduction to the concept and then moves on to the complete information setup, which is used to solve the complete information game. The course then covers firms with credible retaliation and the incomplete information setup, which is used to solve the incomplete information game. It then explores the separating, pooling, and semi-separating equilibria before concluding with a discussion of how to resolve the paradox.
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