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Common belief of weak-dominance rationality in strategic-form games: A qualitative analysis

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  • Bonanno, Giacomo
  • Tsakas, Elias

Abstract

We study common belief of weak-dominance rationality in strategic-form games with ordinal utilities, employing a qualitative model of beliefs. We characterize two standard solution concepts for such games: the Iterated Deletion of Börgers-dominated Strategies (IDBS) and the Iterated Deletion of Inferior Strategy Profiles (IDIP). We do so by imposing nested restrictions on the doxastic models: namely, the respective epistemic conditions differ in the fact that IDIP requires the truth axiom whereas IDBS does not. Hence, IDIP refines IDBS.

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  • Bonanno, Giacomo & Tsakas, Elias, 2018. "Common belief of weak-dominance rationality in strategic-form games: A qualitative analysis," Games and Economic Behavior, Elsevier, vol. 112(C), pages 231-241.
    • Handle: RePEc:eee:gamebe:v:112:y:2018:i:c:p:231-241
    DOI: 10.1016/j.geb.2018.09.003
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    5. Hillas, John & Samet, Dov, 2022. "Non-Bayesian correlated equilibrium as an expression of non-Bayesian rationality," Games and Economic Behavior, Elsevier, vol. 135(C), pages 1-15.

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    More about this item

    Keywords

    Ordinal payoffs; Rationality; Common belief; Dominance; Iterated deletion procedure;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games

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