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Mean Field Games with a Dominating Player

Journal Article · · Applied Mathematics and Optimization
;  [1]
  1. The Chinese University of Hong Kong, Department of Statistics (Hong Kong, People’s Republic of China) (China)

In this article, we consider mean field games between a dominating player and a group of representative agents, each of which acts similarly and also interacts with each other through a mean field term being substantially influenced by the dominating player. We first provide the general theory and discuss the necessary condition for the optimal controls and equilibrium condition by adopting adjoint equation approach. We then present a special case in the context of linear-quadratic framework, in which a necessary and sufficient condition can be asserted by stochastic maximum principle; we finally establish the sufficient condition that guarantees the unique existence of the equilibrium control. The proof of the convergence result of finite player game to mean field counterpart is provided in Appendix.

OSTI ID:
22617266
Journal Information:
Applied Mathematics and Optimization, Journal Name: Applied Mathematics and Optimization Journal Issue: 1 Vol. 74; ISSN 0095-4616
Country of Publication:
United States
Language:
English

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