IMPERFECTLY OBSERVABLE COMMITMENTS IN N-PLAYER GAMES

In a two-stage game where followers can observe moves by leaders only with noise, pure subgame perfect Nash equilibria of the limiting game without noise may not sun;ive arbitrarily small noise. Still. for almo st all games, there exists a subgame perfect equilibrium outcome of th e game with no noise that is approximated by equilibrium outcomes of g ames with small noise. This, however, depends crucially on generic pay offs and does not necessarily hold for all subgame perfect equilibria of the game without noise. (C) 1998 Academic Press.