An empirical study of Fictitious Play for estimating Nash equilibria in first-price auctions with correlated values (opens in new tab)

This study concerns the computation of the Nash equilibria of first-price auctions with correlated values. Although some equilibrium computation methods exist for auctions with independent values, the correlation of bidders' values introduces significant complications that render the existing methods unsatisfactory. Our empirical contribution is a step towards filling this gap. We report surprisingly good numerical convergence of Fictitious Play...