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Open Access Publications from the University of California

Estimating a mixed strategy employing maximum entropy

  • Author(s): Golan, Amos
  • Karp, Larry
  • Perloff, Jeffrey M.
  • et al.

Generalized maximum entropy may be used to estimate mixed strategies subject to restrictions from game theory. This method avoids distributional assumptions and is consistent and efficient. We use this method to estimate the mixed strategies of duopolistic airlines.

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