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Identification and Estimation of Dynamic Games with Unknown Information Structure

Konan Hara, Yuki Ito, Paul Koh

arXiv 7 May 2022 · Econometrics

arXiv:2205.03706 · PDF · Extracted main text

Abstract

We develop an empirical framework for analyzing dynamic games when the underlying information structure is unknown to the analyst. We introduce Markov correlated equilibrium, a dynamic analog of Bayes correlated equilibrium, and show that its predictions coincide with the Markov perfect equilibrium predictions attainable when players observe richer signals than the analyst assumes. We provide tractable methods for informationally robust estimation, inference, and counterfactual analysis. We illustrate the framework with a dynamic entry game between Starbucks and Dunkin' in the US and study the role of informational assumptions.

Citation extraction

73
references
158
in-text mentions
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distinct cited
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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Magnolfi and Roncoroni (2023) Estimation of Discrete Games with Weak Assumptions on Information1.000157100%
2Koh (2023) Stable Outcomes and Information in Games: An Empirical Framework self1.00085100%
3Pesendorfer and Schmidt-Dengler (2008) Asymptotic Least Squares Estimators for Dynamic Games1.00084100%
4Syrgkanis, Tamer and Ziani (2021) Inference on Auctions with Weak Assumptions on Information1.00074100%
5Gualdani and Sinha (2024) Identification in discrete choice models with imperfect information1.00073100%
6Aguirregabiria and Mira (2007) Sequential Estimation of Dynamic Discrete Games1.00064100%
7Bergemann and Morris (2016) Bayes Correlated Equilibrium and the Comparison of Information Structures in Games0.9568488%
8Dearing and Blevins (2025) Efficient and convergent sequential pseudo-likelihood estimation of dynamic discrete games0.92843100%
9Montiel Olea and Plagborg-Mller (2019) Simultaneous Confidence Bands: Theory, Implementation, and an Application to SVARs0.8434375%
10Fershtman and Pakes (2012) Dynamic Games with Asymmetric Information: A Framework for Empirical Work0.73732100%

Showing the top 10 of 73 scored citations.