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Deductive reasoning in Extensive Games

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  • Asheim, Geir B

    (Department of Economics, University of Oslo)

Abstract

We justify the application to extensive games of the concept of ‘fully permissible sets’, which corresponds to choice sets when there is common certain belief of the event that each player prefer one strategy to another if and only if the former weakly dominates the latter on the set of all opponent strategies or on the union of the choice sets that are deemed possible for the opponent. he e tensive games considered illustrate how our concept yields support to forward induction, without necessarily promoting backward induction.

Suggested Citation

  • Asheim, Geir B, 2000. "Deductive reasoning in Extensive Games," Research Papers in Economics 2000:7, Stockholm University, Department of Economics.
    • Handle: RePEc:hhs:sunrpe:2000_0007
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Spenkuch, Jörg, 2014. "Backward Induction in the Wild: Evidence from the U.S. Senate," MPRA Paper 58766, University Library of Munich, Germany.
    2. Ignacio Palacios-Huerta & Oscar Volij, 2009. "Field Centipedes," American Economic Review, American Economic Association, vol. 99(4), pages 1619-1635, September.
    3. Geir B. Asheim & Andrés Perea, 2019. "Algorithms for cautious reasoning in games," International Journal of Game Theory, Springer;Game Theory Society, vol. 48(4), pages 1241-1275, December.
    4. Cabral, Luis & Ozbay, Erkut Y. & Schotter, Andrew, 2014. "Intrinsic and instrumental reciprocity: An experimental study," Games and Economic Behavior, Elsevier, vol. 87(C), pages 100-121.
    5. Andreas Blume & Peter H. Kriss & Roberto A. Weber, 2017. "Pre-play communication with forgone costly messages: experimental evidence on forward induction," Experimental Economics, Springer;Economic Science Association, vol. 20(2), pages 368-395, June.
    6. Steven D. Levitt & John A. List & Sally E. Sadoff, 2011. "Checkmate: Exploring Backward Induction among Chess Players," American Economic Review, American Economic Association, vol. 101(2), pages 975-990, April.
    7. Dufwenberg, Martin & Van Essen, Matt, 2018. "King of the Hill: Giving backward induction its best shot," Games and Economic Behavior, Elsevier, vol. 112(C), pages 125-138.
    8. Dufwenberg, Martin & Köhlin, Gunnar & Martinsson, Peter & Medhin, Haileselassie, 2016. "Thanks but no thanks: A new policy to reduce land conflict," Journal of Environmental Economics and Management, Elsevier, vol. 77(C), pages 31-50.
    9. Sabrina Teyssier, 2007. "Optimal Group Incentives with Social Preferences and Self-Selection," Post-Print halshs-00144901, HAL.
    10. Asheim, Geir B. & Brunnschweiler, Thomas, 2023. "Epistemic foundation of the backward induction paradox," Games and Economic Behavior, Elsevier, vol. 141(C), pages 503-514.
    11. Asheim, Geir B. & Dufwenberg, Martin, 2003. "Admissibility and common belief," Games and Economic Behavior, Elsevier, vol. 42(2), pages 208-234, February.
    12. Dufwenberg, Martin & Kirchsteiger, Georg, 2019. "Modelling kindness," Journal of Economic Behavior & Organization, Elsevier, vol. 167(C), pages 228-234.
    13. Dan Levin & Luyao Zhang, 2022. "Bridging Level-K to Nash Equilibrium," Papers 2202.12292, arXiv.org, revised Feb 2022.
    14. Ke, Shaowei, 2019. "Boundedly rational backward induction," Theoretical Economics, Econometric Society, vol. 14(1), January.
    15. Peter J. Hammond, 2008. "Beyond Normal Form Invariance: First Mover Advantage in Two-Stage Games with or without Predictable Cheap Talk," Studies in Choice and Welfare, in: Prasanta K. Pattanaik & Koichi Tadenuma & Yongsheng Xu & Naoki Yoshihara (ed.), Rational Choice and Social Welfare, pages 215-233, Springer.
    16. Janssen, Maarten C.W., 2006. "Auctions as coordination devices," European Economic Review, Elsevier, vol. 50(3), pages 517-532, April.

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    More about this item

    Keywords

    Extensive Game; Deductive reasoning; backward induction;
    All these keywords.

    JEL classification:

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

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