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Plausibility Orderings In Dynamic Games

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  • Perea, Andrés

Abstract

In this paper we explore game-theoretic reasoning in dynamic games within the framework of belief revision theory. More precisely, we focus on the forward induction concept of ‘common strong belief in rationality’ (Battigalli and Siniscalchi (2002) and the backward induction concept of ‘common belief in future rationality’ (Baltag et al. 2009; Perea 2014). For both concepts we investigate whether the entire collection of selected belief revision policies for a player can be characterized by a unique plausibility ordering. We find that this is indeed possible for ‘common strong belief in rationality’, whereas this may be impossible in some games for ‘common belief in future rationality’.

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  • Perea, Andrés, 2014. "Plausibility Orderings In Dynamic Games," Economics and Philosophy, Cambridge University Press, vol. 30(3), pages 331-364, November.
    • Handle: RePEc:cup:ecnphi:v:30:y:2014:i:03:p:331-364_00
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    Cited by:

    1. Tsakas, Elias, 2014. "Epistemic equivalence of extended belief hierarchies," Games and Economic Behavior, Elsevier, vol. 86(C), pages 126-144.
    2. Rich, Patricia, 2015. "Rethinking common belief, revision, and backward induction," Mathematical Social Sciences, Elsevier, vol. 75(C), pages 102-114.

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