TRUTH-TELLING EQUILIBRIA FOR BAYESIAN GAMES ARISING FROM SEQUENCING SITUATIONS

Abstract

This paper considers one-machine sequencing situations with linear costs in which the urgency of players is private information. To study strategic behavior of players based on neighbor switches we associate with such a situation a Bayesian game where the utility functions are based on gain split rules and study whether the truth-telling strategy profile is an equilibrium of the game. The existence of such truth-telling equilibria turns out to be exceptional.