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Level-k Thinking in the Extensive Form

Author

Listed:
  • Burkhard C. Schipper
  • Hang Zhou

    (Department of Economics, University of California Davis)

Abstract

Level-k thinking has been widely applied as a solution concept for games in normal form in behavioral and experimental game theory. We consider level-k thinking in games in extensive form. Player's may learn about levels of opponents' thinking during the play of the game because some information sets may be inconsistent with certain levels. In particular, for any information set reached, a level-k player attaches the maximum level-l thinking for l

Suggested Citation

  • Burkhard C. Schipper & Hang Zhou, 2022. "Level-k Thinking in the Extensive Form," Working Papers 352, University of California, Davis, Department of Economics.
    • Handle: RePEc:cda:wpaper:352
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    File URL: https://repec.dss.ucdavis.edu/files/1iskwetnrqk14n7kztmdopoar66p/exformlevel8.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    Level-k thinking; Cognitive hierarchy; Theory-of-Mind; Rationalizability; Iterated admissibility; Strong rationalizability; Extensive-form rationalizability; ∆-rationalizability; Backward rationalizability; Mutual belief in rationality; Experimental game theory.;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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