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The interaction bietween knowledge and belief in a temporal context is analyzed. An axiomatic formulation and semantic characterization of the principle of belief persistency implied by the standard conditionalization rule are provided. This principle says that an individual does not change her...
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We provide a self-contained, selective overview of the literature on the role of knowledge and beliefs in game theory. We focus on recent results on the epistemic foundations of solution concepts, including correlated equilibrium, rationalizability in dynamic games, forward and backward induction.
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