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Consider a finite, normal form game G in which each player position is occupied by a population of N individuals, and the payoff to any given individual is the expected payoff from playing against a group drawn at random from the other positions.  Assume that individuals adjust their behavior...
Persistent link: https://www.econbiz.de/10009320223
In 1995, Aumann showed that in games of perfect information, common knowledge of rationality is consistent and entails the back- ward induction (BI) outcome. That work has been criticized because it uses "counterfactual" reasoning|what a player "would" do if he reached a node that he knows he...
Persistent link: https://www.econbiz.de/10008562714
We propose a simple adaptive procedure for playing strategic games: average testing. In this procedure each player sticks to her current strategy if it yields a payoff that exceeds her average payoff by at least some fixed \epsilon 0; otherwise she chooses a strategy at random. We consider...
Persistent link: https://www.econbiz.de/10008853829
Define a continuous game to be one in which every player's strategy set is a Polish space, and the payoff function of each player is bounded and continuous. We prove that in this class of games the process of sequentially eliminating "never-best-reply" strategies terminates before or at the...
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The logic of backward induction (BI) in perfect information (PI) games has been intensely scrutinized for the past quarter century. A major development came in 2002, when P. Battigalli and M. Sinischalchi (BS) showed that an outcome of a PI game is consistent with common strong belief of utility...
Persistent link: https://www.econbiz.de/10010714082
Infinite sequential games, in which Nature chooses a Borel winning set and reveals it to one of the players, do not necessarily have a value if Nature has 3 or more choices. The value does exist if Nature has 2 choices. The value also does not necessarily exist if Nature chooses from 2 Borel...
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