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(In)significance of entangling operators in the noisy duopoly games

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Abstract

In this paper, we extend the application of the recently proposed modified EWL scheme to study Cournot and Stackelberg duopoly games in the presence of decoherence. It is shown that the effect of decoherence in the duopoly games can be tuned with an appropriate choice of entangling operator, initial state, and strategies adapted by the firms. We have observed three interesting situations for the noisy Cournot and Stackelberg duopoly games: Firstly, when noise is maximum the profit function of the firms becomes independent of the entangling operator. Secondly, entanglement decides the outcome of the firms only when players adapt different strategies. Thirdly, the outcome of the firms can be made equal when the strategies of the firms are interchanged. Further, it is shown that noise favors the follower over the leader by decreasing the difference in the profit function of the firms.

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Acknowledgements

Authors wish to acknowledge the anonymous reviewers for pointing out the correct method of the calculations.

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Authors and Affiliations

  1. Department of Physics, School of Advanced Sciences, Vellore Institute of Technology, Vellore, Tamil Nadu, 632014, India

    A. V. S. Kameshwari & S. Balakrishnan

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  1. A. V. S. Kameshwari
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  2. S. Balakrishnan
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Correspondence to S. Balakrishnan.

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Kameshwari, A.V.S., Balakrishnan, S. (In)significance of entangling operators in the noisy duopoly games. Quantum Inf Process 21, 168 (2022). https://doi.org/10.1007/s11128-022-03509-6

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