Mailath, George J.; Nocke, Volker; White, Lucy - Department of Economics, University of Pennsylvania - 2004
In repeated normal-form games, simple penal codes (Abreu 1986, 1988) permit an elegant characterization of the set of subgame-perfect outcomes. We show that the logic of simple penal codes fails in repeated extensive-form games. We provide two examples illustrating that a subgame-perfect outcome...
