Justification of Constrained Game Equilibrium Models

We consider an extension of a noncooperative game where players have joint binding constraints. In this model, the constrained equilibrium can not be implemented within the same noncooperative framework and requires some other additional regulation procedures. We consider several approaches to resolution of this problem. In particular, a share allocation method is presented and substantiated. We also show that its regularization leads to a decomposable penalty method.

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Kazan Federal University, Kazan, Russia.

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