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This study examines how each player chooses her/his optimal action in "normal-form games with unawareness" by applying a "discovery process" to them. We show that if each player implements a best response to the opponents' immediately preceding plays, then any discovery process converges to a...
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. Iterative admissibility also provides predictions for every finite level of reasoning about rationality. Overall we observe …
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Level-k thinking and Cognitive Hierarchy have been widely applied as a normalform solution concept in behavioral and experimental game theory. We consider the extension of level-k thinking to extensive-form games. Player's may learn about levels of opponents' thinking during the play of the game...
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