In this paper, we provide an epistemic characterization of iterated admissibility (IA), i.e., iterated elimination of weakly dominated strategies. We show that rationality and common assumption of rationality (RCAR) in complete lexicographic type structures implies IA, and that there exist such...

The analysis of rational play in dynamic games is usually done within a static framework that specifies a player's initial beliefs as well as his disposition to revise those beliefs conditional on hypothetical states of information. We suggest a simpler approach, where the rationality of a...

The finitely repeated Prisoners' Dilemma is a good illustration of the discrepancy between the strategic behaviour suggested by a game-theoretic analysis and the behaviour often observed among human players, where cooperation is maintained through most of the game. A game-theoretic reasoning...

We investigate the extension of backward-induction to von Neumann extensive games (where information sets have a synchronous structure) and provide an epistemic characterization of it. Extensions of the idea of backward-induction were proposed by Penta (2009) and later by Perea (2013), who also...

This working paper contains the slides of two invited lectures on the Epistemic Foundations of Game Theory, delivered at the Royal Netherlands Academy of Arts and Sciences (KNAW) on February 8, 2007.

The literary source of the main ideas in Aumann's article ``Backward Induction and Common Knowledge of Rationality" is exposed and analyzed. The primordial archetypal images that underlie both this literary source and Aumann's work are delineated and are used to explain the great emotive impact...

The problem of finding sufficient conditions for backward induction in games of perfect information is analysed in a syntactic framework with subjunctive conditionals. The structure of the game is described by a logical formula. Two different rationality conditions are formulated, which are...

We describe non-cooperative game models and discuss game theoretic solution<br/>concepts. Some applications are also noted. Conventional theory focuses on the<br/>question ‘how will rational players play?’, and has the Nash equilibrium at its core.<br/>We discuss this concept and its interpretations, as...

In everyday economic interactions, it is not clear whether sequential choices are visible or not to other participants: agents might be deluded about opponents'capacity to acquire,interpret or keep track of data, or might simply unexpectedly forget what they previously observed (but not chose)....

The analysis of rational play in dynamic games is usually done within a static framework that specifies a player's initial beliefs as well as his disposition to revise those beliefs conditional on hypothetical states of information. We suggest a simpler approach, where the rationality of a...