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Extensive-Form Level-k Thinking

Author

Listed:
  • Burkhard C. Schipper
  • Hang Zhou

    (Department of Economics, University of California Davis)

Abstract

Level-k thinking and Cognitive Hierarchy have been widely applied as a normal-form solution concept in behavioral and experimental game theory. We consider the extension of level-k thinking to extensive-form games. 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. "Extensive-Form Level-k Thinking," 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/zWrsUqdgDWcoEaUDZhQzhyxk/exformlevel4.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; Extensive-form rationalizability; ∆-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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