Optimal Effort in Heterogeneous Agents Population with Global and Local Interactions
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Arianna Dal Forno
dalforno@econ.unito.it
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Ugo Merlone
merlone@econ.unito.it
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Abstract
A game where agents interact in small teams is proposed; the interaction is examined when the population consists of different types of agent and a rewardmechanism devised to increase competition is introduced. We prove that such a mechanism may expand the set of Nash equilibria and, in particular, reduce the production level of some agents. Finally, we extend our results to heterogeneous populations by means of agents based modeling. This way we can study the dynamics of adjustment of agents response and extend our results when considering local interaction and a egocentric knowledge of the population composition.
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