Breaking Status-Quo Inertia in Living Temporal Games: Dynamic Intervention, Implementation, and Structural Design

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Main Authors: Gordji, Madjid Eshaghi, Jabbari, Ali, Berahman, Mohammad Ali, Abounoori, Esmaiel
Format: Preprint
Published: 2026
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author Gordji, Madjid Eshaghi
Jabbari, Ali
Berahman, Mohammad Ali
Abounoori, Esmaiel
author_facet Gordji, Madjid Eshaghi
Jabbari, Ali
Berahman, Mohammad Ali
Abounoori, Esmaiel
contents Westudy how a planner can design dynamic interventions to overcome status-quo inertia in living temporal games, where strategic agents control their state (active, sleep, partially dead) on a temporal network. Building on the continuous-time stochastic game framework of our companion paper, we introduce three intervention classes: bounded transfers (price based), structural modifications (edge deletion, addition, or replacement), and information signals. We formalize the notion of inertia depth and prove a threshold theorem: the status quo equilibrium survives all transfer perturbations whose magnitude is below a critical bound that depends on the remaining horizon. A central structural dominance result shows that for any finite transfer budget there exists a family of games where no bounded price intervention can eliminate the inefficient equilibrium, yet a single edge replacement (continuous-flow to discrete-transport) succeeds. We then study private-information subclasses with static types. Using a uniformization reduction, we prove an impossibility result: no direct mechanism can simultaneously satisfy ex post incentive compatibility, ex post budget balance, and history privacy while always implementing an efficient equilibrium. In the same subclass we construct a dynamic pivot mechanism that achieves second-best efficiency with bounded deficit. Finally, we show that replacing continuous-flow edges by discrete-transport edges weakly expands the set of implementable outcomes, highlighting the importance of temporal semantics for mechanism design. Our results extend the static analysis of [5] to continuous time strategic networks and provide a rigorous foundation for subsequent papers on learning and mean-field design.
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id arxiv_https___arxiv_org_abs_2605_19087
institution arXiv
publishDate 2026
record_format arxiv
spellingShingle Breaking Status-Quo Inertia in Living Temporal Games: Dynamic Intervention, Implementation, and Structural Design
Gordji, Madjid Eshaghi
Jabbari, Ali
Berahman, Mohammad Ali
Abounoori, Esmaiel
Theoretical Economics
Westudy how a planner can design dynamic interventions to overcome status-quo inertia in living temporal games, where strategic agents control their state (active, sleep, partially dead) on a temporal network. Building on the continuous-time stochastic game framework of our companion paper, we introduce three intervention classes: bounded transfers (price based), structural modifications (edge deletion, addition, or replacement), and information signals. We formalize the notion of inertia depth and prove a threshold theorem: the status quo equilibrium survives all transfer perturbations whose magnitude is below a critical bound that depends on the remaining horizon. A central structural dominance result shows that for any finite transfer budget there exists a family of games where no bounded price intervention can eliminate the inefficient equilibrium, yet a single edge replacement (continuous-flow to discrete-transport) succeeds. We then study private-information subclasses with static types. Using a uniformization reduction, we prove an impossibility result: no direct mechanism can simultaneously satisfy ex post incentive compatibility, ex post budget balance, and history privacy while always implementing an efficient equilibrium. In the same subclass we construct a dynamic pivot mechanism that achieves second-best efficiency with bounded deficit. Finally, we show that replacing continuous-flow edges by discrete-transport edges weakly expands the set of implementable outcomes, highlighting the importance of temporal semantics for mechanism design. Our results extend the static analysis of [5] to continuous time strategic networks and provide a rigorous foundation for subsequent papers on learning and mean-field design.
title Breaking Status-Quo Inertia in Living Temporal Games: Dynamic Intervention, Implementation, and Structural Design
topic Theoretical Economics
url https://arxiv.org/abs/2605.19087