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Belief-Free Equilibria in Games With Incomplete Information

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Author Info
Johannes Hörner
Stefano Lovo
Abstract

We define belief-free equilibria in two-player games with incomplete information as sequential equilibria for which players' continuation strategies are best replies after every history, independently of their beliefs about the state of nature. We characterize a set of payoffs that includes all belief-free equilibrium payoffs. Conversely, any payoff in the interior of this set is a belief-free equilibrium payoff. The characterization is applied to the analysis of reputations. Copyright 2009 The Econometric Society.

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File URL: http://hdl.handle.net/10.3982/ECTA7134
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Article provided by Econometric Society in its journal Econometrica.

Volume (Year): 77 (2009)
Issue (Month): 2 (03)
Pages: 453-487
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Handle: RePEc:ecm:emetrp:v:77:y:2009:i:2:p:453-487

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This page was last updated on 2009-11-12.

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