Choosing among Signalling Equilibria in Lobbying Games
1997, Public Choice
Eric Bennett Rasmusen
Abstract. Randolph Sloof has written a comment on the lobbying-as-signalling model in Rasmusen (1993) in which he points out an equilibrium I missed and criticizes my emphasis on a particular separating equilibrium (see this issue). In this response, I discuss howto interpret multiple equilibria in games and how to interpret mixed strategy equilibria in which two typesof player with identical incentives must pick different mixing probabilities.
Rasmusen, Eric Bennett (1997), "Choosing among Signalling Equilibria in Lobbying Games," Public Choice, Vol. 91, April, 209-214.