Showing 1 - 10 of 182
We introduce a condition, Nash-equivalent self-confirming equilibrium. If beliefs are assumed to be independent and unitary, Nash-equivalent self-confirming equilibrium and Nash equilibrium are outcome-equivalent. We show that the set of Nash-equivalent self-confirming equilibria and the set of...
Persistent link: https://www.econbiz.de/10010573648
We prove that the structure theorem for rationalizability originally from Weinstein and Yildiz (2007) applies to any finite extensive-form game with perfect recall and suitably rich payoffs. We demonstrate that the ties induced by the extensive form do not change the result of Weinstein and...
Persistent link: https://www.econbiz.de/10011049820
We define generalized extensive-form games which allow for asymmetric awareness of actions. We extend Pearceʼs (1984) notion of extensive-form (correlated) rationalizability to this setting, explore its properties, and prove existence.
Persistent link: https://www.econbiz.de/10011049860
We study coordination in dynamic global games with private learning. Players choose whether and when to invest irreversibly in a project whose success depends on its quality and the timing of investment. Players gradually learn about project quality. We identify conditions on temporal incentives...
Persistent link: https://www.econbiz.de/10011049831
We develop an approach to providing epistemic conditions for admissible behavior in games. Instead of using lexicographic beliefs to capture infinitely less likely conjectures, we postulate that players use tie-breaking sets to help decide among strategies that are outcome-equivalent given their...
Persistent link: https://www.econbiz.de/10011049856
Correlation of players' actions may evolve in the common course of the play of a repeated game with perfect monitoring (“online correlation”). In this paper we study the concealment of such correlation from a boundedly rational player. We show that “strong” players, i.e., players whose...
Persistent link: https://www.econbiz.de/10011117125
In repeated games, subgame perfection requires all continuation strategy profiles must be effective to enforce the equilibrium; they serve as punishments should deviations occur. It does not require whether a punishment can be justified for the deviation, which creates a great deal of freedom in...
Persistent link: https://www.econbiz.de/10011117126
In many economic contexts, an elusive variable of interest is the agent's belief about relevant events, e.g. about other agents' behavior. A growing number of surveys and experiments asks participants to state beliefs explicitly but little is known about the causal relation between beliefs and...
Persistent link: https://www.econbiz.de/10011117133
We study network games under strategic complementarities. Agents are embedded in a fixed network. They choose a positive, continuous action and interact with their network neighbors. Interactions are positive and actions are bounded from above. We first derive new sufficient conditions for...
Persistent link: https://www.econbiz.de/10011117134
We show that in multi-sender communication games where senders imperfectly observe the state, if the state space is large enough, then there can exist equilibria arbitrarily close to full revelation of the state as the noise in the senders' observations gets small. In the case of replacement...
Persistent link: https://www.econbiz.de/10011117135