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A Note on Common Prior

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Author Info
Miklós Pintér (Corvinus University of Budapest)

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Abstract

Harsányi introduced the concept of type space in an intuitive way. Later Heifetz and Samet formalized it. Harsányi used conditional probabilities to model the beliefs of the players, Heifetz and Samet avoided using conditional probabilities formally. We show that in both cases the concept of transition probability can reproduce the models, moreover, the transition probability approach fits to both Harsányi's intuition and the formalization of Heifetz and Samet. As a consequence, our results suggest that the concept of common prior is not appropriate to determine the players' beliefs. Two examples are also given.

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File URL: http://129.3.20.41/eps/game/papers/0510/0510010.pdf
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Publisher Info
Paper provided by EconWPA in its series Game Theory and Information with number 0510010.

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Length: 10 pages
Date of creation: 20 Oct 2005
Date of revision:
Handle: RePEc:wpa:wuwpga:0510010

Note: Type of Document - pdf; pages: 10
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Web page: http://129.3.20.41

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Related research
Keywords: Beliefs; Conditional probability; Common Prior;

Find related papers by JEL classification:
C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
D8 - Microeconomics - - Information, Knowledge, and Uncertainty

This paper has been announced in the following NEP Reports:

References listed on IDEAS
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  1. Heifetz, Aviad & Samet, Dov, 1998. "Topology-Free Typology of Beliefs," Journal of Economic Theory, Elsevier, vol. 82(2), pages 324-341, October. [Downloadable!] (restricted)
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This page was last updated on 2009-11-5.


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