SimEUCartelLaw (version 1.0.4)

LEgame: Simulate the Legal Exemption Game

Description

LEgame simulates the legal exemption game.

Usage

LEgame(params, m = 1e+05, corrMat = diag(7), QMC = FALSE, seed = 1)

Value

A dataframe containing the realized output of the simulation.

Arguments

params

named list containing numeric vectors Phi, Rho, Chi, Ksi, M, G and A with the ranges for the input parameters.

m

numeric scalar containing the number of Monte Carlo replications. Defaults to 1e5.

corrMat

matrix containing the correlation matrix for the simulation. Defaults to a 7x7 identity matrix.

QMC

logical scalar. If TRUE, an equidistant grid is generated, if FALSE, uniformly distributed random numbers are simulated.

seed

numeric scalar containing the random seed for the simulation. Defaults to 1 in order to make results reproducible.

Details

LEgame simulates the deterrent effect of the European cartel law based on a game-theoretic model for the legal exemption system.

Examples

Par <- list(Phi=c(0.1,0.5), Rho=c(0.5,0.9), Ksi=c(0.05,0.3), Chi=c(0.1,0.4),
            M=c(0.2,1.2), G=c(0.05,0.2), A=c(0.1,0.3))
res <- LEgame(params=Par, m=100000)
print(aggResults(res))