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This study examines how each player chooses her/his optimal action in "normal-form games with unawareness" by applying a "discovery process" to them. We show that if each player implements a best response to the opponents' immediately preceding plays, then any discovery process converges to a...
Persistent link: https://www.econbiz.de/10013237214
This paper provides a TU < alpha >-core existence result in a large class of normal form games. In the oligopoly markets of a homogeneous good, the TU < alpha >-core is non-empty if all profit functions are continuous and concave. In a general game, the existence of TU < alpha >-core follows from the weak separability,...</alpha></alpha></alpha>
Persistent link: https://www.econbiz.de/10014200947
Due to the externalities, in normal form games a deviation changes the payoff of all players inducing a retaliation by the remaining or residual players. The stability of an outcome depends on the expectations potential deviators have about this reaction, but so far no satisfactory theory has...
Persistent link: https://www.econbiz.de/10014089085
This paper approaches infinite matrix games through the weak topology on the players' sets of strategies. A new class of semi-infinite and infinite matrix games is defined, and it is proved that these games always have a value and optimal strategies for each player. Using these games it is...
Persistent link: https://www.econbiz.de/10014215917
This paper studies the reinforcement learning of Erev and Roth with foregone payoff information in normal form games: players observe not only the realised payoffs but also foregone payoffs, the ones which they could have obtained if they had chosen the other actions. We provide conditions under...
Persistent link: https://www.econbiz.de/10012891626
The assumptions that subjects hold beliefs and that the chosen actions are not altered by a proper elicitation of these beliefs are widely used in economics. In this paper I experimentally test whether the second assumption is correct. Especially controlling for different game properties, I find...
Persistent link: https://www.econbiz.de/10010487275
Heifetz, Meier and Schipper (2013) introduced generalized extensive-form games that allow for asymmetric unawareness. Here, we study the normal form of a generalized extensiveform game. The generalized normal-form game associated to a generalized extensive-form game with unawareness may consist...
Persistent link: https://www.econbiz.de/10013350879
Persistent link: https://www.econbiz.de/10001488390
The purpose of this study is to explore the link between imagine-self perspective-taking and rational self-interested behavior in experimental normal-form games. Drawing on the concept of sympathy developed by Adam Smith and further literature on perspective-taking in games, we hypothesize that...
Persistent link: https://www.econbiz.de/10012914234
In this work, I extend the normal form cognitive hierarchy model (Camerer et al. (2004)) to a class of finite two-person extensive form games. I study two versions of such a model: the first is as faithful as possible to the normal form assumptions, while the second modifies them slightly. In...
Persistent link: https://www.econbiz.de/10013148058