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incomplete information games. This has been achieved by appropriately restricting beliefs at unreached information sets. Each new … refinement gives stricter and more mathematically-complicated limitations on permitted beliefs. A simpler approach is taken here …, where the whole idea of beliefs is dispensed with, and a new equilibrium concept, called the ideal reactive equilibrium …
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The notion of communication equilibrium extends Aumann's [3] correlated equilibrium concept for complete information games to the case of incomplete information. This paper shows that this solution concept has the following property: for the class of incomplete information games with compact...
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A coordination game with incomplete information is played through time. In each period, payoffs depend on a fundamental state and an additional idiosyncratic shock. Fundamentals evolve according to a random walk where the changes in fundamentals (namely common shocks) have a fat tailed...
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