Finitely Repeated Games
Jean‐Pierre Benoît, Vijay Krishna · Econometrica · 1985
We study subgame perfect equilibria of finitely repeated games. We prove a limit "folk theorem" for these games. Under weak conditions, any feasible and individually rational payoff vector of the one-shot game can be approximated by the average payoff in a perfect equilibrium of a repeated game with a sufficiently long horizon.