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We design experimental games to evaluate the predictive power of the first cheap‐talk refinement, neologism‐proofness. In our first set of treatments designed to evaluate the refinement with its usual emphasis on literal meanings, we find that a fully revealing equilibrium that is...
Persistent link: https://www.econbiz.de/10011994751
This paper analyzes multi-sender cheap talk when the state space might be restricted, either because the policy space is restricted, or the set of rationalizable policies of the receiver is not the whole space. We provide a necessary and sufficient condition for the existence of a fully...
Persistent link: https://www.econbiz.de/10011702234
A learning rule is uncoupled if a player does not condition his strategy on the opponent's payoffs. It is radically uncoupled if a player does not condition his strategy on the opponent's actions or payoffs. We demonstrate a family of simple, radically uncoupled learning rules whose...
Persistent link: https://www.econbiz.de/10011702986
We define a concept of epistemic robustness in the context of an epistemic model of a finite normal-form game where a player type corresponds to a belief over the profiles of opponent strategies and types. A Cartesian product X of pure-strategy subsets is epistemically robust if there is a...
Persistent link: https://www.econbiz.de/10011620518
This paper considers a population of agents that are engaged in a listening network. The agents wish to match their actions to the true value of some uncertain (exogenous) parameter and to the actions of the other agents. Each agent begins with some initial information about the parameter and,...
Persistent link: https://www.econbiz.de/10011621465
Strategic decisions are affected by beliefs about the expectations of others and their possible decisions. Thus, strategic decisions are influenced by the social context and by beliefs about other actors’ levels of sophistication. The present study investigated whether strategic...
Persistent link: https://www.econbiz.de/10011606710
A game of incomplete information can be decomposed into a basic game and an information structure. The basic game defines the set of actions, the set of payoff states the payoff functions and the common prior over the payoff states. The information structure refers to the signals that the...
Persistent link: https://www.econbiz.de/10011672033
An uninformed sender designs a mechanism that discloses information about her type to a privately informed receiver, who then decides whether to act. I impose a single-crossing assumption, so that the receiver with a higher type is more willing to act. Using a linear programming approach, I...
Persistent link: https://www.econbiz.de/10011856702