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arXiv:1412.6715

Social optimality in quantum Bayesian games

Azhar Iqbal, James M. Chappell, Derek Abbott

Published Dec 21, 2014• 0 citations
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Abstract

A significant aspect of the study of quantum strategies is the exploration of the game-theoretic solution concept of the Nash equilibrium in relation to the quantization of a game. Pareto optimality is a refinement on the set of Nash equilibria. A refinement on the set of Pareto optimal outcomes is known as social optimality in which the sum of players' payoffs are maximized. This paper analyzes social optimality in a Bayesian game that uses the setting of generalized Einstein-Podolsky-Rosen experiments for its physical implementation. We show that for the quantum Bayesian game a direct connection appears between the violation of Bell's inequality and the social optimal outcome of the game and that it attains a superior socially optimal outcome.

DOI
10.48550/arxiv.1412.6715

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A significant aspect of the study of quantum strategies is the exploration of the game-theoretic solution concept of the Nash equilibrium in relation to the quantization of a game. Pareto optimality is a refinement on the set of Nash equilibria. A refinement on the set of Pareto optimal outcomes is known as social optimality in which the sum of players' payoffs are maximized. This paper analyzes social optimality in a Bayesian game that uses the setting of generalized Einstein-Podolsky-Rosen experiments for its physical implementation. We show that for the quantum Bayesian game a direct connection appears between the violation of Bell's inequality and the social optimal outcome of the game and that it attains a superior socially optimal outcome.
Quantum games with incomplete information can be studied within a Bayesian framework. We analyze games quantized within the EWL framework [Eisert, Wilkens, and Lewenstein, Phys Rev. Lett. 83, 3077 (1999)]. We solve for the Nash equilibria of a variety of two-player quantum games and compare the results to the solutions of the corresponding classical games. We then analyze Bayesian games where there is uncertainty about the player types in two-player conflicting interest games. The solutions to the Bayesian games are found to have a phase diagram-like structure where different equilibria exist in different parameter regions, depending both on the amount of uncertainty and the degree of entanglement. We find that in games where a Pareto-optimal solution is not a Nash equilibrium, it is possible for the quantized game to have an advantage over the classical version. In addition, we analyze the behavior of the solutions as the strategy choices approach an unrestricted operation. We find that some games have a continuum of solutions, bounded by the solutions of a simpler restricted game. A deeper understanding of Bayesian quantum game theory could lead to novel quantum applications in a multi-agent setting.
The quantum Minority game provides a means of studying the effect of multi-partite entanglement in a game theoretic setting. We study symmetric Nash equilibria and symmetric Pareto optimal strategies arising in a four-player quantum Minority game that uses an initial state that is a superposition of a GHZ state and products of EPR pairs. We find that the payoff curve for the symmetric Pareto optimal strategy is the same as that for the maximal violation of the Mermin-Ardehali-Belinskii-Klyshko inequality for the initial state, indicating a correspondence between quantum game theory and Bell inequalities. We also show that no advantage over the classical Minority game can be obtained when the initial state has only two party entanglement.
Entanglement is of paramount importance in quantum information theory. Its supremacy over classical correlations has been demonstrated in a numerous information theoretic protocols. Here we study possible adequacy of quantum entanglement in Bayesian game theory, particularly in social welfare solution (SWS), a strategy which the players follow to maximize sum of their payoffs. Given a multi-partite quantum state as an advice, players can come up with several correlated strategies by performing local measurements on their parts of the quantum state. A quantum strategy is called quantum-SWS if it is advantageous over a classical equilibrium (CE) strategy in the sense that none of the players has to sacrifice their CE-payoff rather some have incentive and at the same time it maximizes sum of all players' payoffs over all possible quantum advantageous strategies. Quantum state yielding such a quantum-SWS is called a quantum social welfare advice (SWA). We show that any two-qubit pure entangled state, even if it is arbitrarily close to a product state, can serve as quantum-SWA in some Bayesian game. Our result, thus, gives cognizance to the fact that every two-qubit pure entanglement is the best resource for some operational task.
Theory of quantum games is a new area of investigation that has gone through rapid development during the last few years. Initial motivation for playing games, in the quantum world, comes from the possibility of re-formulating quantum communication protocols, and algorithms, in terms of games between quantum and classical players. The possibility led to the view that quantum games have a potential to provide helpful insight into working of quantum algorithms, and even in finding new ones. This thesis analyzes and compares some interesting games when played classically and quantum mechanically. A large part of the thesis concerns investigations into a refinement notion of the Nash equilibrium concept. The refinement, called an evolutionarily stable strategy (ESS), was originally introduced in 1970s by mathematical biologists to model an evolving population using techniques borrowed from game theory. Analysis is developed around a situation when quantization changes ESSs without affecting corresponding Nash equilibria. Effects of quantization on solution-concepts other than Nash equilibrium are presented and discussed. For this purpose the notions of value of coalition, backwards-induction outcome, and subgame-perfect outcome are selected. Repeated games are known to have different information structure than one-shot games. Investigation is presented into a possible way where quantization changes the outcome of a repeated game. Lastly, two new suggestions are put forward to play quantum versions of classical matrix games. The first one uses the association of De Broglie's waves, with travelling material objects, as a resource for playing a quantum game. The second suggestion concerns an EPR type setting exploiting directly the correlations in Bell's inequalities to play a bi-matrix game.