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We define a generalized state-space model with interactive unawareness and probabilistic beliefs. Such models are desirable for many potential applications of asymmetric unawareness. We develop Bayesian games with unawareness, define equilibrium, and prove existence. We show how equilibria are...
Persistent link: https://www.econbiz.de/10010365853
Applying unawareness belief structures introduced in Heifetz, Meier, and Schipper (2012), we develop Bayesian games with unawareness, define equilibrium, and prove existence. We show how equilibria are extended naturally from lower to higher awareness levels and restricted from higher to lower...
Persistent link: https://www.econbiz.de/10014169832
The standard state-spaces of asymmetric information preclude non-trivial forms of unawareness (Modica and Rustichini …-trivial unawareness among several individuals, and which satisfies strong properties of knowledge as well as all the desiderata on …
Persistent link: https://www.econbiz.de/10010366550
realizable CURB set, represent the economy of knowledge of games' structures …
Persistent link: https://www.econbiz.de/10013296791
This paper provides a set-theoretic model of knowledge and unawareness. A new property called Awareness Leads to … Knowledge shows that unawareness of theorems not only constrains an agent's knowledge, but also, can impair his reasoning about … what other agents know. For example, in contrast to Li (2009), Heifetz et al. (2006) and the standard model of knowledge …
Persistent link: https://www.econbiz.de/10012918267
We define a generalized state-space model with interactive unawareness and probabilistic beliefs. Such models are desirable for potential applications of asymmetric unawareness. Applying our unawareness belief structures, we show that the common prior assumption is too weak to rule out...
Persistent link: https://www.econbiz.de/10013116677
; zero probability ; type-space ; common prior ; agreement ; speculative trade ; interactive epistemology …
Persistent link: https://www.econbiz.de/10003894997
. -- Unawareness ; awareness ; common prior ; agreement ; speculative trade ; universal type-space ; interactive epistemology …
Persistent link: https://www.econbiz.de/10009544213
Morris (1996, 1997) introduced preference-based definitions of knowledge of belief in standard state-space structures … defining unawareness and knowledge in terms of preferences over acts in unawareness structures and showing their equivalence to … the epistemic notions of unawareness and knowledge, we try to build a bridge between decision theory and epistemic logic …
Persistent link: https://www.econbiz.de/10009544215
I develop awareness-dependent subjective expected utility by taking unawareness structures introduced in Heifetz, Meier, and Schipper (2006, 2008, 2009) as primitives in the Anscombe-Aumann approach to subjective expected utility. I observe that a decision maker is unaware of an event if and...
Persistent link: https://www.econbiz.de/10003943576