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The Complexity of the Homotopy Method, Equilibrium Selection, and Lemke-Howson Solutions

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We show that the widely used homotopy method for solving fixpoint problems, as well as the Harsanyi-Selten equilibrium selection process for games, are PSPACE -complete to implement. A key application of our techniques yields the result that it is also PSPACE -complete to compute any of the equilibria that could be found via the classical Lemke-Howson algorithm.

Joint work with Paul W. Goldberg and Christos H. Papadimitriou.

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