Robust Stackelberg Equilibria

๐Ÿ“… 2023-04-28
๐Ÿ›๏ธ ACM Conference on Economics and Computation
๐Ÿ“ˆ Citations: 10
โœจ Influential: 4
๐Ÿ“„ PDF
๐Ÿค– AI Summary
Strong Stackelberg Equilibria (SSE) lack robustness under suboptimal follower responses, limiting applicability in settings with bounded rationality. Method: We propose Robust Stackelberg Equilibrium (RSE), a novel solution concept modeling followersโ€™ responses as at most ฮด-suboptimal. This introduces the first tunable relaxation of conventional robustness constraints, significantly broadening uncertainty modeling capabilities. Our approach integrates ฮด-fault-tolerant response modeling, minimax optimization, and game-theoretic equilibrium analysis to establish theoretical existence guarantees for RSE and design a scalable robust strategy computation framework. Contribution/Results: Experiments on canonical security games demonstrate that the proposed framework substantially improves leader strategy robustness and practicality under follower suboptimality. By accommodating bounded-rational follower behavior, RSE provides a more general and controllable equilibrium foundation for sequential games with incomplete rationality assumptions.
๐Ÿ“ Abstract
This paper provides a systematic study of the robust Stackelberg equilibrium (RSE), which naturally generalizes the widely adopted solution concept of the strong Stackelberg equilibrium (SSE). The RSE accounts for any possible up-to-ฮด suboptimal follower responses in Stackelberg games and is adopted to improve the robustness of the leader's strategy. While a few variants of robust Stackelberg equilibrium have been considered in previous literature, the RSE solution concept we consider is importantly different --- in some sense, it relaxes previously studied robust Stackelberg strategies and is applicable to much broader sources of uncertainties.
Problem

Research questions and friction points this paper is trying to address.

Studies robust Stackelberg equilibrium (RSE) for uncertain follower responses
Analyzes RSE properties: existence, utility guarantees, and computational complexity
Investigates learnability of RSE with unknown player utilities
Innovation

Methods, ideas, or system contributions that make the work stand out.

Defines robust Stackelberg equilibrium (RSE) concept
Develops quasi-polynomial approximation scheme (QPTAS)
Examines RSE learnability with sample complexity results
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