Characterization and Computation of Feedback Nash Equilibria in Scalar Discounted N-Player Linear Quadratic Games

Abstract

This paper studies feedback Nash equilibria (FNE) in scalar discounted linear quadratic (LQ) games with $N$ players. By explicitly incorporating the discount factor, we show that finite-cost equilibria may fail to stabilize the original system, motivating a distinction between FNE and stable FNE together with a sufficient stability condition. Based on a parametric characterization of the policies, we propose numerical methods for computing all equilibria. Particular attention is devoted to the symmetric game, where a closed-form expression of the symmetric FNE and conditions for the existence of up to $M\leq2^N-2$ equilibria are derived. Numerical experiments illustrate how equilibrium multiplicity depends on the game configuration and highlight the emergence of finite-cost non-stabilizing equilibria.